When comparing REIT vs real estate, there are key differences to consider. REITs (Real Estate Investment Trusts) are companies that own, operate, or finance income-producing real estate, offering a way to invest without needing to buy physical properties. Investors can buy shares of a REIT on stock exchanges, providing liquidity and ease of access. In contrast, direct real estate investment involves purchasing physical properties, which requires significant capital and management effort. While direct real estate can offer substantial returns and tax benefits, it also comes with risks such as market fluctuations and property management challenges. Ultimately, the choice depends on an investor's risk tolerance and investment strategy.