Exactly 63 years and 5 days ago today, commercial real estate was almost exclusively a wealthy man’s game.
Wealthy individuals bought and sold buildings or rented them out to other well-off businesses and families.
The only way for the average investor to grow their money was through traditional stocks and bonds with their life savings.
But on September 14, 1960, President Eisenhower signed the Real Estate Investment Trust (REIT) Act, allowing ordinary Americans to invest in commercial real estate and collect rent just like other wealthy landlords.
Little did I know this legislation would change the trajectory of my entire life and provide me a way forward in one of the darkest times.
Today, I’ll share how significant this investment creation is to me along with an exciting announcement.
A Dark Time Before the Dawn
Although I did not grow up in a well-to-do family, I made my fortune right out of college.
This small-town boy raised in a single-parent home had his eyes set on building skyscrapers and started a career as a real estate developer.
While some of my peers struggled to get a jump start to their careers, everything I touched seemed to turn to gold.
I had a knack for building relationships, picking properties, and attracting tenants. And at one point, I had more than 100 rent checks coming in every month.
But a series of unfortunate events in combination with the Great Financial Crisis of 2009… left me bankrupt.
Well, almost bankrupt. I couldn’t afford to pay the bankruptcy lawyer.
Tenants struggled to pay rent, debt came due, and I found out that my business partner had taken out multiple mortgages on almost all of our properties without telling me.
I had to sell my home and move into my in-laws’ house with my wife and five kids.
It was truly one of the darkest times of my life…
But thanks to one particular investment vehicle, I was able to build back my wealth.
“The Real Estate Investment Trust (REIT) Guy”
REITs are tax-free businesses that typically own-and-rent-out property. They pay out 90% of their otherwise taxable income to shareholders in the form of dividends.
That tends to keep REITs on the straight and narrow while still offering safe higher dividend yields.
So by investing in a REIT or multiple REITs (which I recommend), you can generate the same monthly, quarterly, or annual income as you would from a tenant without having to deal with the three T’s – toilets, trash, or taxes.
No maintenance fees or upkeep (toilets). No having to deal with tenants and their trash. And no property taxes.
And your investment is also immediately available if you need it.
While for individual landlords of commercial real estate, there is no instant liquidity. It takes time to sell a property.
But not when you invest in a REIT.
I learned all of this while I was trying to climb out of my dark hole of debt.
And I decided to become a “virtual” landlord rather than a physical one. I began analyzing REITs and the properties they bought.
Based on my real estate development background, I could tell which REITs had properties that were about to make bank and invested in those REITs before everyone else caught on.
When they soared, I would reinvest the dividends I had collected into other beaten-down REITs that were about to take off or keep them compounding with even greater profits.
I got so good at picking winning REITs that I began writing as an analyst on Seeking Alpha and then started my own REIT newsletter to teach other investors how to build up their wealth in the same way.
My newsletter grew so big and gained so much traction that Forbes magazine took notice and became one of my partners.
From there, my network grew. I became “The REIT Guy” going on Fox Business, TD Ameritrade, and more as an analyst. I also attended REIT conferences and got to know the CEO’s and management teams of hundreds of REITs.
Although a controversial figure now, during his high point, an article was written calling me “the Dr. Anthony Fauci for REITs.”
All of these successes and achievements came from applying my real estate development background to REITs and financial investing.
Which is why today’s announcement is so exciting to share.
REITs For Dummies
On October 10, 2023 my latest book will hit the market.
It’s called REITs For Dummies, and is part of Wiley’s Dummies book series.
(Brad Thomas Holding His Latest Book: REITs For Dummies)
More often than not, people shy away from this investment vehicle because they don’t fully understand it.
So for me, this is an amazing opportunity to help people take advantage of what I believe is one of the greatest investment vehicles we have as Americans to grow our wealth.
And all because of one little piece of legislation signed on September 14, 1960 by President Eisenhower.
So please, if you have questions about this REITs, contact me and my team here. There is no such thing as a stupid question – and it would be such a shame if you missed out on the incredible opportunity to grow your wealth because of an unanswered question.
And if you want to receive a free REIT pick and check out our Intelligent Income Investor service, watch to the end of this video here. This service has an entire portfolio dedicated to the best REIT opportunities for you to generate income and boost your bottom line.
Happy REIT investing,
Brad Thomas
Editor, Intelligent Income Daily