A Real Estate Investment Trust, or REIT, is a company that owns, operates, or finances income-generating real estate. Modeled after mutual funds, REITs provide all investors the chance to own valuable real estate, present the opportunity to access dividend-based income and total returns, and help co

The capitalization rate, commonly referred to as the cap rate, is used in real estate to indicate the rate of return expected from an investment property. It is calculated by dividing the property’s net operating income by the current market value of the property.

A 1031 exchange, also known as a like-kind exchange, is a mechanism that allows an investor to "defer" paying capital gains taxes on an investment property when it is sold, as long as another "like-kind property" is purchased with the profit gained by the sale of the first property.  

Refinancing is the process of getting a new mortgage to replace the original one. Homeowners may opt to refinance their mortgage to reduce their monthly payments, decrease their term, change from an adjustable-rate mortgage to a fixed-rate mortgage, or to tap into their home's equity.