Dictionary of Real Estate Terms: EREIT
EREIT
a Real Estate Investment Trust or REIT, that invests almost exclusively in real properties, as opposed to mortgages or construction loans on real property. The term stands for equity real estate investment trust.
Example: EREITs are considered less risky investments than REITs that specialize in loans, since they have more control over the properties in the portfolio. However, even EREITs can become more risky by using borrowed funds to purchase properties.
