15 Must-Knows Before Investing in REITs

Congress created real estate investment trusts (REITs) to allow individuals to invest in income-producing commercial properties without buying and managing the properties themselves.

Interestingly enough, the enabling legislation was contained in the Cigar Excise Tax Extension of 1960 -- and REITs have been delivering returns to shareholders that, at times, have indeed been smoking hot.

But a slow burn is more like it, as savvy buyers of these stocks have long learned how to profit from the steady income and share price appreciation this real estate investing option has provided now for a half-century.

Here are some things unfamiliar investors should know about REITs.

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