Development of REITS in real estate financing outside China. REITS is a newborn in China, but it has been developed abroad for decades, especially in the United States, German, Canadian and other countries. Real estate investment trust fund is a kind of investment fund specialized in real estate investment projects. By selling freely circulating beneficiary certificates to the securities market, it gathers the funds of many small and medium-sized land investors, then participates in the investment portfolio of real estate projects by virtue of its own professional investment concept, and finally distributes the investment income to investors in the form of dividends and bonuses. It is essentially an investment trust fund.
The United States is one of the most developed countries in REITS at present, and its operation mode is generally divided into three stages: the first stage is the fund-raising stage, in which real estate investment trust funds are established according to law and listed on the securities market, and the real estate trust investment income certificates are sold to all investors through the securities market to obtain funds; In the second stage, the real estate investment trust fund invests the raised funds in real estate and related equity investment projects, and subcontracts the actual management work to some professional contractors to obtain investment income such as interest, principal and capital appreciation; The last stage is the profit distribution stage.
Government tax preference The US government exempts real estate investment trusts from income tax. The rule is that after distributing more than 90% of the profits to shareholders, only individual income tax will be levied on individuals. At the fund level, there is no tax. In the early days, many companies set up REITS to avoid taxes, and the convenience of taxation is the main driving force for their development. Small and medium investors have low barriers to entry. American joint-stock companies require shareholders to contribute at least $65,438+05,000, while REITS are usually less than $25 per share, which is suitable for investors.