tag:blogger.com,1999:blog-7934709627530288859.post417492813849872956..comments2008-04-28T15:52:59.616+05:30adminnoreply@blogger.comBlogger1125tag:blogger.com,1999:blog-7934709627530288859.post-78353214182866642662008-04-28T15:52:00.000+05:302008-04-28T15:52:00.000+05:302008-04-28T15:52:00.000+05:30REIT or real estate mutual funds are the mutual funds essentially devised to invest money in real estate schemes. These are exempted from taxes and they pass on maximum (90% is recommended in India) returns to the retail investor. As real estate melodies are expected to top the Indian chart for a decade or more, REIT is going to sell like hot-cakes. Some of the plus and minus of the existing REITs around the world are enumerated below. In the United States real estate investment is through Real Estate Investment Trusts (REITs). REITs are formed as companies that have an issued share capital. Further, they have the flexibility to raise funds through preference shares and debt. In this structure, they are always close-ended and listed on the exchanges. More than two years after the idea of real estate mutual funds was mooted in India, stock market regulator SEBI finally gave its blessing to fund houses looking to launch this product. Under the guidelines announced by SEBI, all existing mutual funds will be eligible to launch real estate schemes, but a corporate looking to launch such a product will have to show proof of five years experience in the real estate business. The decision of the market regulator SEBI to allow real estate funds at stock exchanges would soon benefits from exponential growth in the real estate market within the reach of retail investors even if they are not able to buy homes or commercial properties at the prevailing sky-rocketing prices.For more view- realtydigest.blogspot.comRealty Riderhttp://www.blogger.com/profile/12992753937563556345noreply@blogger.com