Hard to compare, as not same fruit, not even same type of food.

Rental income only valid for condos in city as landed properties every where else, rental yields cannot compare after the spike in property prices.

But in terms of liquidity, REITs is much better. Less headache in terms of maintenance. No need to worry much about tenants complaints. Aka a managed property.

Plus buying an actual property is serious commitment and maintenance. Properties might have a better yield calculation wise, but too many uncertainties in tenants and risks. This you managed yourself, if you actually hired a property manager, the yields itself might not be as attractive unless you already own a previously paid off property.

Like I said, it's 2 different type of investments as the risks, liquidity, personal time investments, etc. Not same type of fruit.

For discussion sake, I'm currently in the position you describe. If I were to make a decision to invest either in an attractive REITs or a property I like, I would have to go for properties. As long as I'm financially comfortable to pay for another property.

Howerver, if I do not feel I can handle another long term commitment, I would have to choose REITs if the yields are attractive enough.

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Added on March 19, 2012, 3:51 pm That would be a nice to have, but wouldn't it be a bit headache?

This post has been edited by skiddtrader: Mar 19 2012, 03:51 PM

Every share will be entitled for dividends.

So 1 lot is 100 shares, all 100 shares will get dividend.

Even if you only have 1 share due to some corporate exercise, you will get the dividend for the 1 share you own.