A company set up to invest in real estate, mortgages, construction, and development loans that must distribute at least 90% of its net income to avoid paying taxes on the income distributed is called:

A company set up to invest in real estate, mortgages, construction, and development loans that must distribute at least 90% of its net income to avoid paying taxes on the income distributed is called:


A) a trust indenture.

B) a real estate investment trust.

C) a unit investment trust.

D) an open-end investment company.


Answer: B) a real estate investment trust.


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