Loans and Credit

Debt-Income Ratio Mortgage

Debt-Income Ratio Mortgage

Would you want to know about the debt-income ratio mortgage? Lenders use the debt-to-income (DTI) ratio to measure their borrowing risk. The percentage of your gross monthly income goes toward paying your monthly debt obligations. A low debt-to-income (DTI) ratio indicates a healthy balance between debt and income. In other words, if your DTI ratio […]

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Can REITs Sell A Property?

Can REITs Sell A Property?

Would you like to know if REITs can sell a property? My experience tells me that the majority of REITs are equity REITs, which own and manage real estate that generates revenue. Rent is the main source of revenue—not the sale of assets.  Though they are not burdensome, the regulations governing the ownership and administration

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Can REITs Lose Money?

Can REITs Lose Money?

Can REITs lose money? The danger of losing money is always present with investments.  Run your computation to assist you in defining the REIT intrinsic values. However, from my experience, every rise in the short-term interest rate reduces the profit; in the preceding example, doubling the rate would result in no profit at all.  Furthermore,

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Can REITs Make You Rich

Can REITs Make You Rich

Would you want to know if REITs can make you rich? From what I’ve seen, real estate investment trusts (REITs) let buyers put money into business real estate without having to own and run the buildings themselves.  Over time, REITs have shown to be effective in generating wealth. My research indicates that REITs have done

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Can REITs Issue Bonds

Can REITs Issue Bonds

Can REITs issue bonds? From what I’ve seen, REITs can issue bonds, get unsecured and guaranteed loans, and use revolving lines of credit to get into cash.  Over the last twenty years, bonds sold by real estate managers have experienced a lot. The real estate bubble fell, followed by the Euro Crisis in 2011 and

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Can REITs Buy Back Stock

Can REITs Buy Back Stock

Would you want to know if Reits can buy back stock? From what I’ve seen, REITs’ stock repurchases aren’t driven by cash distribution, capital structure, or cheap equity like they are in regular companies.  However, when workers have more stock options, REITs are more likely to buy back their stock.  REITs are becoming more and

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