Newsletter 64: Build a Real Estate Empire in One Trade! 🏢

One click. Dozens of REITs. Zero landlord duties.

In the last two issues, we covered the basics of REITs — why they’re great for beginners (steady dividends, no property management headaches, high liquidity) — and highlighted individual REIT picks like Realty Income, VICI, and AHR, along with their growth stories and risks.

Now, let’s take it one step further: instead of picking single names, you can diversify instantly with REIT ETFs.

🔍 What’s in a REIT ETF?

A REIT ETF is a basket of real estate companies packaged into one fund. Inside, you’ll find:

• 🏘 Residential REITs: Apartments, housing.
• 🏬 Commercial REITs: Offices, malls, logistics centers.
• 💻 Specialty REITs: Data centers, healthcare, casinos.

Each ETF has a slightly different weighting. Some lean toward industrial and tech, others toward housing or retail. That’s why choosing wisely matters.

📊 Best REIT ETFs for 2025

Here are three heavy hitters for the year:

• Vanguard Real Estate ETF (VNQ)
  • Yield: ~3.7%
  • Expense Ratio: 0.12%
  • Huge diversification with 160+ holdings.
• Schwab U.S. REIT ETF (SCHH)
  • Yield: ~3.5%
  • Expense Ratio: 0.07%
  • Super low fees — great for long-term holders.
• iShares U.S. Real Estate ETF (IYR)
  • Yield: ~3.2%
  • Expense Ratio: 0.40%
  • Established, liquid, and favored by traders.

👉 Rule of thumb: Keep an eye on both yield and fees — they eat into returns over time.

🧭 How to Fit REIT ETFs into Your Portfolio

Your allocation depends on your goals:

• 🐢 Conservative: 5–10% for stability + dividends.
• ⚖️ Balanced: 10–15% for growth + income.
• 🚀 Aggressive income seeker: 20%+ for maximum dividends (with higher risk).

📰 Pro Tip for Everyday Investors

Top investing stories sent to your inbox before the market opens.
We don’t just tell you what’s happening — we explain why it matters.

👉 Subscribe here to join thousands of smart investors staying one step ahead.

🦔 Final Takeaway

REIT ETFs give you the best of both worlds: steady income, diversified exposure, and none of the landlord drama. With just one trade, you can own a slice of the world’s most powerful real estate sectors.

If you enjoyed this breakdown, don’t miss the next Hedgehog Huddle. ✨
👉 Subscribe here to get 2x weekly deep dives on investing, side hustles, and smart money moves.

Stay sharp, stay spiky — be the hedgehog with a strategy
— Mindy
Founder, Hedgehog Huddle