Private real estate investing is the use of private individuals’ money (not a corporation’s funds) to purchase privately held real estate assets, usually meant for commercial use.
A Real Estate Investment Trust (REIT) is a company owning or financing income-producing real estate and are often publicly traded. Both private real estate investments and REITs are organized pools of capital invested in real estate.
The minimums are typically higher for private real estate investments since there are fewer people investing per project, while REITs typically have a low investment threshold. Private real estate typically has a low correlation to the public stock market.