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A customer wishes to invest in real estate, believing that current market prices are depressed and that they are ready for a major rebound. The customer wishes to make an investment that offers diversification
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A customer wishes to invest in real estate, believing that current market prices are depressed and that they are ready for a major rebound. The customer wishes to make an investment that offers diversification and liquidity. Which type of real estate investment would be a suitable recommendation

User Jvecsei
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1 Answer

5 votes

Answer: Real Estate Investment Trust

Step-by-step explanation:

The options are:

A Real Estate Limited Partnership

B. Real Estate General Partnership

C. Real Estate Investment Trust

D. Real Estate Time Share

From the options given, the real estate investment trust is the only liquid investment. It is identical to a closed-end fund because its shares are being listed and traded just like every other stock.

It should be noted that for both Real Estate Limited Partnerships and the Real Estate General Partnerships, there is no trading market for them as they're highly liquid while the Real Estate Time Shares are vacation product and not investment.

User Thomas Letsch
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