earticle

영어

In this study, the concept and characteristics of REITs are presented firstly, and secondly, the main effects on real estate market and financial market when introducing the REITs are analyzed. REITs(Real Estate Investment Trusts) are corporations or trusts which raise funds from a large member of small investors and invest in real estate and related debts. Considering the effects on real estate market, we could find that REITs may raise the price of real estate in the viewpoint of short term, but may stabilize the price of real estate in the viewpoint of long term. We can also find that the structure of real estate market may be changed. And considering the effects on financial market, we can find that the REITs as a financial good have intermediate characteristics between stocks and bonds in terms of return and risk structure. We can also find that the structure of capital market may be affected. Some policial considerations may be made in order to operate REITs system successfully.