From data gathered on Sept. 30, 2019, healthcare real estate investment trusts (REITs) have earned a trailing ten-year return of 11.6% on average.
Office REITs, however, tend to have an average ten-year return of 9%.
The VanEck Mortgage REIT Income ETF (ARCA: MORT) is down roughly 31% year-to-date, as a series of interest rate hikes by the Federal Reserve has sent a shock through real estate-related industries. Mortgage REITs allow investors to join the real estate market without owning the physical property.
When investing in equity real estate investment trusts (REITs), it is important to remember that these own the real estate and generate revenues through collecting rents.