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Are you looking for a way to supplement your monthly income without getting a side gig or working overtime? If so, real estate investment trusts (REITs) offer a compelling opportunity. REITs own, operate, or finance income-generating real estate, allowing individuals to invest in various real estate types without having direct ownership or management responsibilities.
REITs are legally required to distribute a large percentage of their taxable income to shareholders as dividends, often resulting in high yields.
If you're an income-seeking investor, here are three high-yielding REITs that pay monthly dividends that you could buy today.
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Agree Realty Corporation
Agree Realty Corporation (NYSE:ADC) owns and manages retail properties, such as community shopping centers, warehouse clubs, and convenience stores. As of June 30, its portfolio comprised 2,202 properties across 49 states, containing approximately 46 million square feet.
Agree Realty pays a monthly dividend of $0.25 per share, which equates to an annualized dividend of $3.00 per share and gives its stock a 4.1% yield at the time of this writing.
In addition to offering income investors a high yield, Agree Realty has a reputation for growing its dividend. It has raised its annual dividend payment each of the last 11 years, and its recent hikes, including a 1.2% hike in April, have it on track for 2024 to mark the 12th consecutive year with an increase.
EPR Properties
EPR Properties (NYSE:EPR) owns and manages experiential real estate, such as movie theaters, water and amusement parks, fitness centers, ski parks and resorts, and golf ranges. As of June 30, its portfolio comprised 354 properties across 44 U.S. states and Canada.
EPR pays a monthly dividend of $0.285 per share, equating to an annualized dividend of $3.42 per share and giving its stock a 7.2% yield at the time of this writing.
Like Agree Realty, EPR has been growing its dividend in recent years. It has raised its annual dividend payment each of the last two years, and its 3.6% hike in February has it on track for 2024 to mark the third consecutive year with an increase.
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Phillips Edison & Company, Inc.
Phillips Edison & Company (NASDAQ:PECO) owns and manages grocery-anchored shopping centers. As of June 30, its portfolio comprised 286 properties across 31 states, containing approximately 32.6 million square feet.
PECO pays a monthly dividend of $0.0975 per share, which equates to an annualized dividend of $1.17 per share and gives its stock a 3.2% yield at the time of this writing.
PECO has also raised its dividend every year since its initial public offering (IPO) in 2021, extending its streak of increases to two consecutive years. Its 4.5% hike last September puts it on pace for 2024 to mark the third consecutive year with an increase.
Better Yields Than Some REITs?
The current high-interest-rate environment has created an incredible opportunity for income-seeking investors to earn massive yields, but not through REITs.
Arrived Homes, the Jeff Bezos-backed investment platform has launched its Private Credit Fund, which provides access to a pool of short-term loans backed by residential real estate with a target 7% to 9% net annual yield paid to investors monthly. It paid 8.1% in July. The best part? Unlike other private credit funds, this one has a minimum investment of only $100.
As long-term rates go down and short-term rates stay high, there’s a unique chance to invest in fix & flip loans before yields drop. Check out Benzinga's favorite high-yield offerings.
This article Buy These 3 Stocks Yielding Up To 7.2% For Passive Monthly Income originally appeared on Benzinga.com