To the contrary, this is the most interesting time to be buying REITs and specifically healthcare and for example, the data center ones. My reasons include weakness of the holders of REITs to adapt to the changing environment of the market. REITs stability is gone, holders are very jittery to sell.
Healthcare has government pays and weak tenants; this is I picked the middle of the road, looking for private pay locations, tenants company.
Of course, you have IR, the killer of bonds, yieldcos, and REITs. SBRA yield is over 9%, and so is OHI, no amount of T-Bills can pay you that, and there is no equity/principal growth in leverage/fixed incomes. In REITs it is.
There are risks, brick, and store mortar locations, careful with e-commerce economy and overweight US population. Commercial space, warehousing is the logical offset, and I would know. However one must remember that not necessary new companies come up with e-commerce and old ones would utilize current locations for their e-commerce effort. Nevertheless, warehouse places like GPT, STAG or ILPT could be good to own for years.
Residential apartments, not big on it, nor mortgage RETIs seem to have limited equity growth.
For healthcare, I would avoid CHN and VTR; they have a higher valuation. For those who can stand the risk, I prefer SBRA over OHI, due to GOV program pay being closer 100% for OHI and about 64% for SBRA. SBRA is more so evolving and did not take full value of the changes to its results yet. However I am not going to lie, it is dropping daily at this time. Then you got DOC, HTA, MPW, HCP.