Real estate investment trusts (REITs) are companies that own, operate, or finance income-generating properties. As a result, the real estate industry provides a wide range of job opportunities, including positions in property management, asset management, accounting, finance, and more. In this article, we will explore the how many jobs are available in real estate investment trusts and different types of jobs available in REITs.
REITs require various professionals with expertise in real estate, finance, accounting, legal, and management. The number of jobs available can vary based on the size, type, and current state of the real estate market. Common job roles include property managers, leasing agents, investment analysts, accountants, attorneys, and marketing managers. Publicly traded REITs typically have more regulatory and reporting requirements, resulting in additional personnel needs. Despite fluctuations, a range of positions are usually available in different areas of the REIT business.
Types of Jobs in Real Estate Investment Trusts:
Property management is the backbone of the real estate industry. In REITs, property managers oversee the day-to-day operations of the properties. They are responsible for ensuring that properties are maintained, rent is collected, and tenants are satisfied.
Asset managers are responsible for managing the real estate assets owned by the REIT. They focus on maximizing the value of the properties by analyzing market trends, identifying potential acquisition targets, and monitoring the performance of the portfolio.
Accounting and Finance:
Accounting and finance are critical functions in REITs. These professionals are responsible for managing the financial operations of the company. They handle financial reporting, budgeting, forecasting, tax compliance, and investor relations.
Real Estate Development:
Real estate development involves the acquisition, financing, and construction of new properties. Development professionals in REITs identify opportunities for new projects, secure financing, and manage the construction process.
Legal and Compliance:
Legal and compliance professionals are essential to ensure that REITs comply with relevant laws and regulations. They handle legal matters such as contracts, leases, and property transactions, as well as compliance with tax laws, securities regulations, and environmental regulations.
Marketing and Communications:
Marketing and communications professionals in REITs are responsible for promoting the company’s properties and services to potential tenants, investors, and the general public. They develop marketing strategies, create promotional materials, and manage the company’s online presence.
Information technology professionals play a critical role in REITs by managing the company’s technology infrastructure and data systems. They are responsible for ensuring that the company’s software and hardware systems operate efficiently and securely, and that data is managed effectively.
Investor relations professionals in REITs manage relationships with shareholders, analysts, and other stakeholders. They provide financial and operational updates to investors, communicate the company’s strategy, and handle investor inquiries.
Research and Analysis:
Research and analysis professionals in REITs conduct market research and analysis to identify potential investment opportunities and trends in the real estate market. They analyze market data, track industry trends, and provide insights to inform the company’s investment decisions.
Job Market Trends in Real Estate Investment Trusts:
According to the National Association of Real Estate Investment Trusts (NAREIT), the real estate industry is one of the largest employers in the United States. In 2020, the industry employed over 2.8 million people, including those working in REITs. The COVID-19 pandemic had a significant impact on the real estate industry, leading to a decline in property values and reduced demand for certain types of properties. As a result, some REITs experienced financial difficulties, resulting in job losses.
However, the real estate industry is expected to rebound in the coming years as the economy recovers. The demand for affordable housing, healthcare facilities, and logistics properties is expected to increase, leading to job growth in these sectors. In addition, the increasing popularity of e-commerce is driving demand for warehouse and distribution center properties, creating job opportunities in property management and development.
According to Glassdoor, the average salary for a property manager in a REIT is around $62,000 per year, while an asset manager can earn an average of $100,000 per year. Accounting and finance professionals in REITs can earn salaries ranging from $70,000 to $150,000, depending on the level of experience and job responsibilities. Real estate developers can earn salaries ranging from $60,000 to $200,000, depending on the size and complexity of the projects they manage.
The Bureau of Labor Statistics (BLS) projects job growth in the real estate industry to be 2% from 2020 to 2030, which is slower than the average for all occupations. However, this projection does not differentiate between jobs in REITs versus other sectors of the real estate industry. Job growth in specific roles may vary depending on industry trends and economic conditions.
Education and Experience:
Most positions in REITs require at least a bachelor’s degree in a related field, such as business, finance, accounting, or real estate. Advanced degrees, such as a Master of Business Administration (MBA), may be preferred for management-level positions. Relevant work experience is also essential for most positions in REITs, and certifications, such as the Certified Property Manager (CPM) or Certified Commercial Investment Member (CCIM), may be preferred or required for some roles.
According to NAREIT, the total market capitalization of U.S. REITs was $1.25 trillion as of March 2021, with over 200 publicly traded REITs in the United States. This indicates a significant industry size, which contributes to the availability of jobs in various functions and sectors.
Job opportunities in REITs may vary by geographic location. Real estate markets in major metropolitan areas, such as New York, Los Angeles, and Chicago, may have more opportunities than smaller cities or rural areas. However, this can also depend on the specific REIT and the type of properties they own or manage.
The job market in real estate investment trusts is dynamic and diverse, with opportunities across various functions and sectors. While the overall job growth in the real estate industry is projected to be slower than average, there are still opportunities for skilled professionals in the industry who are exploring how many jobs are available in real estate investment trusts. With the right education, experience, and certifications, individuals can build successful careers in the exciting and rewarding world of REITs.