Is Real Estate Investment Trusts a Good Career Path? Updated in 2022

Are you looking for a good career path? Consider real estate investment trusts (REITs).

REITs are a great way to invest in real estate without having to actually purchase or manage any property yourself.

In this article, we’ll discuss what REITs are and why they might be a good career choice for you.

We’ll also look at the pros and cons of working in the REIT industry so that you can make an informed decision about whether or not this is the right career for you.

What Is Real Estate Investment Trust?

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A real estate investment trust (REIT) is a company that owns, operates, or finances income-producing real estate.

REITs are typically structured as corporations or trusts, and they are owned by shareholders who receive regular dividends from the trust.

The shares of a REIT are bought and sold on major stock exchanges just like any other publicly traded security.

REITs were created in the 1960s as a way to allow small investors to pool their money and invest in large-scale real estate projects.

Today, REITs own a wide variety of property types, including office buildings, shopping centers, warehouses, apartments, hotels, and self-storage facilities.

Some REITs also engage in development activities, such as building new properties or renovating existing ones.


Related: The 12 Best Paying Jobs in Real Estate Investment Trusts


What are the Types of Real Estate Investment Trusts?

Equity REITs

The most common type of REIT is an equity REIT.

Equity REITs own and operate income-producing real estate, such as office buildings, shopping centers, warehouses, apartments, hotels, and self-storage facilities.

The income from these properties is distributed to shareholders in the form of dividends.

Equity REITs are typically organized as corporations, and they are taxed as such.

The major advantage of this structure is that it allows the REIT to deduct dividends paid to shareholders from its taxable income.

This tax treatment helps to make equity REITs an attractive investment for many people.

Mortgage REITs

Mortgage REITs (also known as mREITs) are a type of REIT that invests in mortgage loans and other real estate-related debt instruments.

Mortgage REITs use leverage to invest in these assets, which can potentially provide higher returns than equity REITs.

However, leverage also increases risk, and mortgage REITs are often more volatile than equity REITs.

Mortgage REITs are typically organized as trusts, and they are taxed as such.

This tax treatment allows mortgage REITs to deduct the interest expense associated with their borrowings from their taxable income.

This can make mortgage REITs an attractive investment for many people.

Hybrid REITs

Hybrid REITs are a type of REIT that combines characteristics of both equity REITs and mortgage REITs.

Hybrid REITs typically own a mix of properties and mortgage loans. The income from these assets is distributed to shareholders in the form of dividends.

Hybrid REITs are typically organized as corporations, and they are taxed as such.

The major advantage of this structure is that it allows the REIT to deduct dividends paid to shareholders from its taxable income.

Is Real Estate Investment Trusts a Good Career Path?

Yes, REITs can be a good career path for many people because it offers a wide variety of job opportunities, and it is possible to build a successful career in this field.

There are a few things to keep in mind if you are considering a career in the REIT industry, however.

Best Paying Jobs In Real Estate Investment Trusts

The REIT industry offers a wide variety of job opportunities, and it is possible to build a successful career in this field.

Here are a few of the best-paying jobs in the REIT industry:

1. Real Estate Investor

Real estate investors are among the best paying jobs in real estate investment trusts.

It is a career that requires hard work and long hours, but it is also an exciting and rewarding career.

Real estate investors are people who buy properties with the intention of renting them out, fixing them up, and then selling them for a profit.

They may also purchase properties that need repairs and then hire contractors to fix these homes.

Real estate investors are responsible for finding tenants, collecting rent payments from them, maintaining the property, and ensuring that repairs are done correctly and on time.

They may also have to evict tenants who fail to pay rent on time or damage the property in any way.

The majority of real estate investors have some form of training before starting out in their careers.

Some take courses at local colleges or universities while others study independently through books or online courses.


Related: The 15 Best Paying Jobs In Consumer Services


2. Portfolio Manager

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This is a challenging job that requires both technical and business knowledge.

The portfolio manager oversees the investment process of a REIT and has to be able to understand how each investment fits into the bigger picture.

Portfolio managers must also understand how the markets are performing, as well as how their particular investments are doing in comparison with other similar assets.

The job also involves communicating with tenants and other stakeholders to negotiate leases and resolve disputes.

A bachelor’s degree in finance or real estate is required.

Experience working in commercial real estate or as a private equity investor can be helpful but is not required.

3. Real Estate Attorney

A real estate attorney is one of the best-paying jobs in real estate investment trusts (REITs).

A real estate attorney has to deal with a lot of legal issues that are related to property laws, which makes it one of the most lucrative jobs in the industry.

Real estate attorneys are integral to any real estate transaction.

They handle all legal matters related to buying, selling, and leasing properties.

They have a piece of in-depth knowledge about property laws and can advise you on how you can make sure that your investments are safe and secure.

One of the reasons why real estate attorneys are so popular is because they can earn a lot of money from their clients.

The average salary for a real estate attorney is $74,001 to $154,375 per year.

This is higher than many other professions, including doctors and engineers.


Related: Top 16 Best Paying Jobs In Energy


4. REIT Analyst

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Real estate investment trust (REIT) analysts are among the highest-paid employees in the industry.

They earn an average salary of $81,410 per year.

The job of a REIT analyst is to analyze the performance of real estate investments and make recommendations on whether or not investors should invest in a company based on its financial performance.

This means scouring through financial statements, reviewing tax returns, and performing other analytical tasks that help investors determine whether or not they should invest in a particular company.

A typical day as a REIT analyst revolves around researching companies within the industry and making recommendations on where investors should put their money.

This can include analyzing current trends within the industry as well as potential future trends that could impact company valuations over time.

5. Real Estate Broker

One of the most lucrative jobs is that of a real estate broker.

In this role, you’ll help clients buy and sell properties, negotiate deals, and complete transactions.

As an independent contractor, your income will depend on the number of deals you close.

They also find properties for their clients to purchase or rent out.

A real estate broker may be a full-time career or a side job on the weekends or evenings.

If you’re thinking about becoming a real estate broker, you should know that it takes time to build up your client base and earn enough money to make it worth your while.

You can expect to earn about $62,010 as a real estate broker with just a few years’ experience under your belt.


Related: The 18 Best Paying Jobs In Consumer Non-Durables


6. Real Estate Agent

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If you’re interested in becoming a real estate agent, now is a great time to do so.

The job market for real estate agents is booming, and the demand for their services is only expected to increase as more people are looking to enjoy the benefits of homeownership.

You don’t need to have your own office or hire anyone else to work for you.

In fact, most independent agents work out of their homes and handle their own marketing and advertising efforts themselves.

Real estate agents make most of their money on commission, which is a percentage of the sale price or rental amount paid by the customer.

Real estate agents typically earn 6 percent to 8 percent on residential sales and 8 percent to 12 percent on commercial sales.

The average annual salary for a real estate agent is $62,010 — but there are many factors that can affect what you make as an agent.

For example, if you’re working with a large company or agency, you’ll likely earn more than someone who’s just starting out on their own.

7. Property Management

If you want to get into the real estate industry without having to invest your own money, becoming a property manager is one option.

These managers oversee all aspects of a property’s operation, including rent collection, tenant screening, and maintenance.

There are many different types of properties you could manage — office buildings, retail stores, or hotels — but the work is generally similar across them all.

The biggest difference between managing apartments versus managing office buildings is the amount of time spent dealing with tenants.

An apartment building manager should expect to spend much more time doing maintenance than an office building manager would have to do because there will be more units to maintain at once.

The average salary for property managers who work in real estate investment trusts is $59,230 per year — but there’s plenty of room for growth within this field.

The Bureau of Labor Statistics estimates that employment opportunities for commercial real estate managers will increase by 25% between 2014 and 2024 due to the higher demand for commercial buildings created by population growth.

8. Real Estate Property Appraiser

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If you’re looking for a career in real estate, appraising homes might be just what you’ve been waiting for.

The good news is that you don’t need to have any prior experience in this field to become a real estate appraiser.

All states require only one or two years of post-high school education, and most states require only one year.

Appraisers are responsible for determining the value of properties based on their physical characteristics, location, and market conditions at the time of sale.

They evaluate an area’s potential for future development and whether or not it would be profitable for investors.

Most appraisers work with banks and other financial institutions when valuing property as collateral for mortgages or loans against real estate holdings known as mortgages or deeds of trust.

The Bureau of Labor Statistics reports that the average annual salary for a real estate appraiser is $60,000.

However, there are many factors that go into how much you can earn as an appraiser.

9. Real Estate Developer

Becoming a real estate developer is one of the best paying jobs in real estate investment trusts (REITs).

The median salary for a real estate developer was $61,340  in 2021, according to the Bureau of Labor Statistics.

The job requires more than just developing property, however.

In addition to being able to identify good locations and negotiate leases with tenants, real estate developers must also be capable administrators who can manage employees and oversee budgets.

To become a real estate developer, you need at least an undergraduate degree in business or construction management along with years of work experience in the field.

You’ll also need to have strong interpersonal skills since much of your job involves dealing with clients and other professionals who may have different views on how projects should be completed.

10. Leasing Consultants

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Becoming a leasing consultant is one of the best paying jobs in real estate investment trusts (REITs).

These professionals help people to find properties that they want to rent or lease.

You can become a leasing consultant by working for a company, or you can start your own business.

Leasing consultants are not just agents who represent the landlord’s interests and negotiate with potential tenants.

They also act as advisors who help tenants find the right property and negotiate favorable terms with the landlord.

A leasing consultant earns $31,563 to $51,059 per year if he or she works for an established firm.

If you have excellent negotiation skills and can negotiate better deals for your clients, you may earn even more than that.

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