What is your favorite REIT

[ahnuld]

Im feeling bullish on real estate this year. What REIT's do you guys currently own, or which are you looking at?

[ahnuld]

mortgage reits seem extremely risky right now from what I understand. Some of them are offering ridiculous yields like NEW at almost 30%, but if the FED raises rates they get pretty effed. I dont totally understand why that is however, so if someone could explain that, it would be great.

[Perplexity]

http://finance.google.com/finance?q=VGSIX

[ahnuld]

Copied from that link, (the vanguard REIT fund) is their top ten holdings as a percent of total holdings and the avergae purchase price per share.

Simon Property Group, Inc. (SPG) 5.93% 90.62
Equity Residential (EQR) 4.36% 50.58
Equity Office Properties Trust (EOP) 4.31% 39.76
ProLogis Trust (PLD) 4.14% 57.06
Vornado Realty Trust (VNO) 4.11% 109.00
Archstone-Smith Trust (ASN) 3.45% 54.44
Host Hotels & Resorts, Inc. (HST) 3.34% 22.93
Boston Properties, Inc. (BXP) 3.32% 103.34
Public Storage, Inc. (PSA) 3.21% 85.99
General Growth Properties, Inc. (GGP) 3.06% 47.65

[gull]

The Vanguard ETF REIT (VNQ) has a lower expense ratio than the fund version. For non-taxable accounts, it's the best.

[Gildwulf]

I use vanguard and it has done very nicely the past 5 months ...that means approximately jack [censored] though, in the long run. It is super cheap, though.

[maxtower]

What is the yield on the Vanguard fund?

[maxtower]

Why are you bullish on real estate? I am curious.

[Chapter7]

[ QUOTE ]
Copied from that link, (the vanguard REIT fund) is their top ten holdings as a percent of total holdings and the avergae purchase price per share.

Simon Property Group, Inc. (SPG) 5.93% 90.62
Equity Residential (EQR) 4.36% 50.58
Equity Office Properties Trust (EOP) 4.31% 39.76
ProLogis Trust (PLD) 4.14% 57.06
Vornado Realty Trust (VNO) 4.11% 109.00
Archstone-Smith Trust (ASN) 3.45% 54.44
Host Hotels & Resorts, Inc. (HST) 3.34% 22.93
Boston Properties, Inc. (BXP) 3.32% 103.34
Public Storage, Inc. (PSA) 3.21% 85.99
General Growth Properties, Inc. (GGP) 3.06% 47.65

[/ QUOTE ]

I own the CGM Realty Fund (CGMRX). Similar holdings. SL Green Realty (SLG) is its top holding. SLG had a ridiculous year last year, but still continues to grow its FFO. I think they have their quarterly earnings release tomorrow.

[ahnuld]

[ QUOTE ]
Why are you bullish on real estate? I am curious.

[/ QUOTE ]

I hadn't done my research and though real estate had corrected more than it had. Apparently these companies havent corrected at all! Only the mortgage REITs such as NEW are trading at 52 week lows and offering huge yields. The big boys with solid fundamentals all seem a little overpriced and are offering [censored] yields. Not sure if I even want to add a REIT to my portfolio anymore, but it would be good for balance's sake.