Where REITs and real estate finance organizes.

REITs are companies that own, operate, or finance income-producing real estate. They trade on stock exchanges like regular stocks. REITs must distribute 90%+ of taxable income as dividends, making them popular for income-focused investors.

REITs offer real estate exposure, diversification, liquidity, and typically higher dividend yields (3-6%) than most stocks. Over long periods, REIT returns have been competitive with the broader market. They work well as portfolio diversifiers.

Most REIT dividends are taxed as ordinary income (not qualified dividend rate), so they're less tax-efficient than typical stock dividends. Holding REITs in tax-advantaged accounts (IRA, 401k) avoids this tax drag. New tax laws allow 20% deduction on REIT dividends.

Public REITs trade on major exchanges, offer full liquidity, have strict reporting requirements, and are accessible to any investor. Private REITs don't trade publicly, typically have minimum investments and lock-up periods, and are generally limited to accredited investors.