What are the key differences between equity REITs and mortgage REITs in terms of their investment strategies and potential returns?

Equity REITs primarily invest in properties and generate income through rental payments and property appreciation, while mortgage REITs invest in real estate debt by providing loans or buying mortgage-backed securities. Equity REITs tend to offer higher potential returns through property appreciation and rental income, while mortgage REITs typically provide higher dividend yields but with more interest rate risk.