Thank you for visiting us.
This is conspi public relations.

This time, it was distributed on CONSPIRIT's official channel on YOUTUBE.
Episode 21: Boost your quality of life with real estate management!I would like to send you the contents.

The topic for this episode of the Conspi Channel is the basics of real estate funds.

Some people already use it as a standard investment destination, while others have heard of the name but don't know much about it.
This time, we will introduce the basics of real estate funds, which may be a bit daunting to ask about now.

 

What is a real estate fund?

First of all, what is a fund?
The fund isA system in which funds are collected from investors, invested and managed by professionals, and the profits are distributed to investors according to their investment ratios.This refers to:

The fund's investment targets are a wide variety of things that generate income.
Stocks and bonds are the most popularMaybe.

The investment target is "real estate"
It's called a "real estate fund."

...and that's where the story ends,
I would like to continue this discussion a little further.

 

The difference between real estate funds and actual real estate investment

Real estate investment targets are not limited to residential properties.
They vary from office buildings and commercial facilities to hotels and logistics facilities.

Funding is not only provided by investors, but also through loans from financial institutions.
From an investor's perspective,You can manage more than your own investment and can utilize leverage.It becomes.

The thing that can be compared to a real estate fund is the actual real estate investment that is also covered in this channel.is.
They both invest in real estate, but let's take a quick look at what the differences are.

・Real estate funds require less investment capital
Investing in real estate has a higher return
・Fund = dividend income Physical real estate = rental income
・Real estate management is carried out by the management company

However, it's not all good.
These differences in characteristics are
It can also be said that this is directly linked to the advantages and disadvantages of the fund.
To explain it simply,

 

Benefits of the fund

・Real estate funds require less investment capital
You can start with a small amount of money

Investing in real estate has a higher return
⇒Fund formation costs and management company fees, etc.
Due to expenses, the yield is generally low,
However, since we are not investing in specific real estate,
This can also be seen as reducing the risk that "vacant rooms mean a loss of income."

This means that in exchange for a lower return,
The system itself has the benefit of naturally diversifying your investments.

・Fund = dividend income Physical real estate = rental income
・Real estate management is carried out by the management company
⇒ Real estate investment is
You or a management company are responsible for management and operation.
Therefore, it is possible to take measures such as increasing value through construction and reducing expenses.

Disadvantages of the fund

On the other hand, in the case of a fund, all management is done by the management company,
There is no option to "manage real estate" at one's own discretion..
Instead, it is operated by professionals,
You will be free from the costs and hassle of maintaining real estate.

 

Types of "Real Estate Funds"

Finally, regarding the types of "real estate funds,"
generally…

1. Real estate investment trusts
2. Real estate specific joint venture

They are broadly divided into two types:

first,No. 1 "Real Estate Investment Trust"but,
"REIT"In other words,
It may sound familiar to your ears.

In a REIT, an "investment corporation" is established for the purpose of investing in real estate.
Acquire investment units issued by the investment corporation,
This is a system that allows you to earn dividend income.

Furthermore, by raising funds,

1-1. Publicly-registered REITs
1-2. Private REITs

It is divided into:

Publicly registered REITs are also known as "J-REITs," and I'm sure many of you have heard of them.
The investment units are listed on the stock exchange and can be traded by anyone through banks or securities companies.
Some stocks can be traded for less than 100,000 yen, making this a fund that is easy for even beginners to get involved with.

The other is a private REIT.
It is not listed on the stock exchange,
It is sold only to a limited number of investors, such as institutional investors.

and,2 Real Estate Specified Joint Venture Actbut,
This is an investment product managed in accordance with the Real Estate Specified Joint Venture Act.

The structure is the same as REITs,
In a real estate specified joint venture, the property to be invested and the investment period are decided.
Since the return can be roughly predicted at the start of investment,
Suitable for medium to long-term operationIt is said that.

So, this time I can’t ask,
We have sent you the basics of real estate funds.

Some products are small-sized, so you can easily get started.
I think it might be worth considering it as one of the places to deposit your money in this low-interest rate era.

 

Learn about real estate management

If you likeConspirit official channelPlease also take a look.
Please subscribe to the channel and give us a high rating!
Well then, it was Conspi PR!

The person who wrote this blog

conspirit public relations
We disseminate information both internally and externally to improve our company's awareness and brand power. We conduct promotional activities by clarifying reach methods based on market, competitor, and company research and analysis.