What I Wish I Knew Before Buying REITs

What I Wish I Knew Before Buying REITs

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I have lost a lot of money investing in Real Estate Investment Trusts. Before you get started, you should know the dangers of REIT investing. In this video, I will share 5 must knows before buying real estate investing trusts! This is what I wish I knew before investing in REITs. These tips should help you select the best REITs to buy and avoid painful losses. You can access my entire REIT Portfolio by taking a 2-week free trial to my REIT newsletter, High Yield Landlord: https://www.high-yield-landlord.com/

Not all my REIT investments are successful! A good example is my investment in CBL & Associates Properties (CBL), which went bankrupt during the pandemic. This REIT bankruptcy cost me over 90%. I take a look at what went wrong and what you can learn from my mistake so that you can avoid such losses. In short, I underestimated the leverage of the REIT because I underappreciated the impact of capex spending on the flexibility of its balance sheet. However investors commonly also make other mistakes when investing in REITs. Just to name a few: they fail to identify conflicts of interest, they pay too much attention to the dividend yield, and they ignore foreign REITs.

💰 I buy all my REITs with Interactive Brokers. Earn up to $1,000 by opening an account with my link: https://ibkr.com/referral/jussi349

🎁 Interested in my non-REIT portfolio? Sign up to High Yield Investor for a 2-week free trial to access all my stock and bond investments: https://seekingalpha.com/affiliate_link/HYIonYoutube

🧵Follow me on Twitter for real-time updates on the REIT sector: https://twitter.com/askjussi

📩Subscribe to my new Substack for REIT analysis. It is FREE: https://jussiaskola.substack.com/

Image sources: CPT, NAREIT, YCHARTS, EPRA, Canva

Important Disclaimer: I hold a position in CPT. This video is impersonal and does not provide individualized advice or recommendations for any specific person. Viewers/readers should not make any investment decision without conducting their own due diligence and consulting their financial advisor about their specific situation. This video is for entertainment purposes only and you are responsible for your own investment decisions. The information is obtained from sources believed to be reliable, but its accuracy cannot be guaranteed. The opinions expressed are those of the publisher and are subject to change without notice. This YouTube channel is managed by Leonberg Research OÜ, a subsidiary of Leonberg Capital OÜ.

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