Property Investment Question ETF REIT Investing

MoneyMan01

Hi All!

I want to invest into the property market, in a specific area in the UK, as I know it very well and the property prices in that specific area.

Problem I am having, is beyond purchasing a physical property there, if I want to invest via a platform, either an ETF or REIT, it seems to be a general UK offering, rather than specific areas.

Is investing via a platform, for a specific area in the UK not possible?

ColdIron

Your problem isn't the platform but the lack of suitable authorised investment products

Regional REITS are vanishingly small niche products and indexes (hence ETF trackers) even more so. Think investing in Venezuelan beaver cheese, you wouldn't blame the platform for their scarcity

I dare say there are some unregulated 'mini bond' type products where the potential for 100% loss of capital exists, you don't need a platform for those

dunstonh

Problem I am having, is beyond purchasing a physical property there, if I want to invest via a platform, either an ETF or REIT, it seems to be a general UK offering, rather than specific areas.

Property funds cant just be specific to a county or city/town in the UK.  They would not want to restrict themselves that much.   Those that have, usually went on to close.

 With the demand for property funds falling off a cliff, there isn't much appetite for niche funds within a niche sector.

MoneyMan01

It's a tricky one, as I would like to invest some of my portfolio into property, but knowing headaches come with being a landlord, it's a shame there isn't a way to invest without going the BTL route, which is nowhere near as lucrative as it used to be.

masonic

MoneyMan01 said:

It's a tricky one, as I would like to invest some of my portfolio into property, but knowing headaches come with being a landlord, it's a shame there isn't a way to invest without going the BTL route, which is nowhere near as lucrative as it used to be.

There is still the peer-to-peer lending route, although that has its caveats too.

Sovereign_Hunter_999

can anyone recommend a good uk based REIT?

dunstonh

MoneyMan01 said:

It's a tricky one, as I would like to invest some of my portfolio into property, but knowing headaches come with being a landlord, it's a shame there isn't a way to invest without going the BTL route, which is nowhere near as lucrative as it used to be.

And the same applies to property within funds. 

waveneygnome

I’ve a small amount in SUPR.  A REIT letting to (mainly) UK supermarkets on long-ish leases.  Yields around 7%.  Risen from recent lows.  Just started joint venture with American based fundco.  Just also started buying properties in Europe.

Linton

I hold a small % in  AEW REIT for income, yield around 7-8%.  I chose it over SUPR for better diversification.

Note that almost all property funds will be investing in commercial property rather than residential.

Hoenir

The issue for property ETF's is that the underlying asset is illiquid and difficult to price mark to mark. Numerous problems over the years with OEICS. Property is best suited to closed end investment vehicles. 

george4064

The AIC screener is a good tool for finding and researching investment trusts, in particular the Property sector under the drop-down menu includes REITs.

Personally, I am a longterm shareholder of Tritax Big Box PLC which is a U.K. logistics REIT and focuses on prime logistics sites. Most recently, it has been focusing on data centres which I think is an attractive opportunity given the rise in AI and increasing demand for data and connections closer to the end user.

It has pulled back a lot from its highs in 2022 due to higher interest rates (amongst others), however I’m happy to collect the c5% dividend along the way, re-invest those dividends and decent opportunities like data centres.