Shares of REITs, Builders Take Hits

[papau]

The Bloomberg REIT index was up 28.1% in 2003, 24.8% in 2004, and in 2005 it is up 11.9% year to date, but during 2004 it dived 18.5% between April 1 and May 10 of 2004, and then rocketed 36% between May 11 and the end of 2004.

http://www.latimes.com/business/la-fi-reit9aug09,0,6571895.story?track=tottext

Shares of REITs, Builders Take Hits
By Tom Petruno and Roger Vincent
Times Staff Writers

August 9, 2005

Real estate stocks are being battered by escalating fears that the run-up in property values is about to end, or even reverse.

Shares of real estate investment trusts and home builders fell sharply Monday, adding to steep losses racked up last week, as rising interest rates have deepened concerns that the nation's property boom may be reaching its peak, analysts say.

A Bloomberg News index of 147 real estate investment trust stocks slumped 3.6% on Monday, and now is down 8.9% from its record high reached a week ago. Real estate investment trusts, or REITs, are companies that own portfolios of commercial properties, such as office towers and shopping malls.

Among home builders, shares of Westwood-based KB Home Corp. have fallen nearly 14% over seven sessions, including a drop of $2.05, or 2.8%, to $72.45 on Monday.
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[raccoon]

1. A financial advisor was trying to interest me in REITS lately.

I held off on it because I don't know much about them.

Just from this article it sounds like they're very volatile. At least now.