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iShares Core U.S. REIT ETF (USRT): Complete Beginner's Guide

Last updated: March 2026BlackRock Real Estate

Expense Ratio

0.08%

AUM

$2.5B

Dividend Yield

3.30%

Inception

2007

Beginner Score

9/10

What is iShares Core U.S. REIT ETF?

USRT provides broad, low-cost exposure to the U.S. REIT market by tracking the FTSE Nareit Equity REITs Index, covering over 140 real estate investment trusts across all property types. It excludes mortgage REITs and focuses purely on equity REITs that own physical properties. Beginners who want comprehensive real estate exposure at a low cost will find USRT a well-diversified core REIT holding.

USRT is managed by BlackRock and has been available since 2007. With $2.5B in assets under management, it's a growing fund that has attracted significant investor interest. The fund charges an expense ratio of 0.08%, which means for every $10,000 you invest, you pay approximately $8 per year in management fees.

USRT at a Glance — Key Metrics

Expense Ratio0.08%
Total Holdings145
P/E Ratio36.0
Beta0.90
Dividend Yield3.30%
AUM$2.5B
Inception Year2007
IssuerBlackRock

Top 10 Holdings in USRT

USRT holds 145 different securities. Here are the largest positions that make up the core of this fund:

#CompanyTickerWeight
1Prologis Inc.PLD9.00%
2American Tower Corp.AMT7.20%
3Equinix Inc.EQIX6.20%
4Crown Castle Inc.CCI4.00%
5Public StoragePSA3.60%
6Realty Income Corp.O3.40%
7Simon Property GroupSPG3.00%
8Digital Realty TrustDLR2.80%
9Welltower Inc.WELL2.60%
10VICI Properties Inc.VICI2.40%

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USRT Performance History

Here's how USRT has performed over different time periods. Remember that past performance doesn't guarantee future results, but it gives you a sense of the fund's track record:

YTD

1.50%

1 Year

12.20%

3 Year

3.80%

5 Year

5.20%

10 Year

6.50%

Beginner Suitability Score: 9/10

Great for Beginners

Our proprietary Beginner Suitability Score evaluates ETFs based on five factors that matter most to new investors: fees, volatility, diversification, dividend history, and track record length.

USRT scores 9/10 because it has very low fees, shows lower-than-average volatility, offers broad diversification across 145 holdings, and has been available since 2007, giving it a proven track record.

How to Buy USRT — Step by Step

  1. Open a brokerage account — We recommend Fidelity, Charles Schwab, or Vanguard for ETF investing. All offer $0 commissions on ETF trades.
  2. Fund your account — Transfer money from your bank. You can start with as little as $1 if your broker offers fractional shares.
  3. Search for "USRT" — Use the search bar in your brokerage platform to find iShares Core U.S. REIT ETF.
  4. Place your order — Choose "Market Order" for simplicity or "Limit Order" if you want to set a specific price. Enter how many shares (or dollar amount) you want to buy.
  5. Set up automatic investing — Most brokers let you schedule recurring purchases (e.g., $100/month on the 1st). This is dollar cost averaging in action.

Dollar Cost Averaging Into USRT

Here's what consistent monthly investing could look like over time, assuming an average annual return of 8% (approximate historical stock market average):

Monthly10 Years20 Years30 Years
$100/mo$18,417$59,295$150,030
$250/mo$46,041$148,237$375,074
$500/mo$92,083$296,474$750,148

*Projections assume 8% average annual return with monthly compounding. Actual returns will vary. Past performance doesn't guarantee future results.

Fee impact: With USRT's expense ratio of 0.08%, a $10,000 investment would lose approximately $686 to fees over 20 years compared to a zero-fee investment. This is a reasonable fee level for the value provided.

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Pros and Cons of USRT

Pros

  • Low 0.08% expense ratio provides affordable broad REIT market exposure
  • Over 145 equity REITs span every major property type for excellent diversification
  • Excludes mortgage REITs to focus on pure real property ownership
  • Solid dividend yield from REITs' requirement to distribute most taxable income

Cons

  • Smaller AUM than competing REIT ETFs may result in slightly wider bid-ask spreads
  • Interest rate sensitivity remains a key risk factor for all REIT investments
  • Real estate sector can underperform during economic slowdowns and credit tightening

Frequently Asked Questions

Is USRT a good ETF for beginners?

USRT has a Beginner Suitability Score of 9/10 on our scale. This makes it a strong choice for new investors due to its low fees and broad diversification.

What is the expense ratio of USRT?

USRT has an expense ratio of 0.08%. This means for every $10,000 you invest, you pay approximately $8 per year in fees. This is considered very low and cost-efficient.

How much money do I need to invest in USRT?

You can invest in USRT with as little as $1 through brokers that offer fractional shares (like Fidelity, Schwab, or Robinhood). There is no minimum investment required beyond the share price itself, which changes daily. Dollar cost averaging — investing a fixed amount regularly — is a popular strategy.

Does USRT pay dividends?

Yes, USRT pays dividends with a current yield of approximately 3.30%. Dividends are typically paid quarterly and can be reinvested automatically through most brokers.

What are the top holdings in USRT?

The top holdings in USRT include Prologis Inc. (9.00%), American Tower Corp. (7.20%), Equinix Inc. (6.20%), and more. The fund holds 145 total positions, providing broad diversification across many companies.