Which of the following best describes non-traded REITs?

Non-traded REITs are accurately described by the fact that they are not listed on public exchanges, which indeed makes them less liquid compared to their publicly traded counterparts. This lack of liquidity means that investors cannot easily sell their shares on a stock exchange, which can affect the ease with which they enter or exit their investment.

Non-traded REITs usually appeal to investors looking for longer-term investments and often focus on specific sectors such as commercial real estate rather than being solely limited to residential properties. The reduced trading frequency also means that their pricing can be less transparent than that of publicly traded REITs. While some non-traded REITs may offer competitive dividends, they do not inherently guarantee higher dividends than public REITs, as dividend policies can vary widely among different types of REITs.