Small-caps have dominated the investment landscape in 2012. Real estate exchange traded funds tracking this asset class are some of the best performing funds so far.

“House prices might have bottomed. This does not necessarily herald growth any time soon, since prices may remain flat for a while, but it is probable that 2012 is the year when house prices stop declining,” Simon Moore wrote on Seeking Alpha.

After the latest slew of strong economic data reports for the U.S., investors may be surprised to find that the real estate sector has added gains. If current market trends continue, the REIT sector could have plenty of opportunity in 2012. [REIT ETFs Attract Dividend Hunters]

Eric Dutram for Zacks reports that the small-cap asset class in real estate was one of the most beaten down areas of the market over the past few years, and they have since been making a noticeable comeback. The small-cap focused real estate ETFs have outperformed their larger and mid-sized counterparts in 2012. [REIT ETFs Positive This Year as Investors Chase Yield]