… just the standard transaction costs in real estate are enough to give me pause.
It Was a Hot Real Estate Trade. Now Investors Are Worried.
Drawn by the opportunity to invest with private equity firms, small investors rushed into real estate investment trusts. But the funds have lost some appeal as interest rates have climbed.
free link:
https://www.nytimes.com/2024/08/12/business/private-reit-redemptions.html?unlocked_article_code=1.Ck4.cIie.jSYpwcsYnHnd&smid=url-share
intercst
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The problem is the only one valuing the investment is the company running the private reit. So when you buy in the price is valued high but when selling out the property mysteriously dropped in value. Much better to invest in public reits where at least the price of the property is valued by someone other than the owner. Otherwise.
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