The real estate sector performs relatively in-line with the wider economy. Prosperous periods bring about high growth and inflation, leading to strong returns in real estate investments. During these times, companies such as Property For Industry and Vital Healthcare Property Trust generate high dividend income to shareholders. Today I will share with you my list of high-dividend real estate stocks you should consider for your portfolio.
Property For Industry Limited (NZSE:PFI)
PFI has a sumptuous dividend yield of 4.38% and distributes 66.25% of its earnings to shareholders as dividends , with analysts expecting a 90.19% payout in three years. The company’s DPS have increased from NZ$0.071 to NZ$0.075 over the last 10 years. During this period, they haven’t missed a payment, as one would expect from a company increasing their dividend. The company has a good track record, averaging double digit earnings growth over the last 5 years (10.05%). Continue research on Property For Industry here.
Vital Healthcare Property Trust (NZSE:VHP)
VHP has a wholesome dividend yield of 3.99% and is paying out 17.78% of profits as dividends , and analysts are expecting a 64.29% payout ratio in the next three years. VHP has been paying a dividend for the last 10 years, but shareholders have not seen an increase in dividends per share during this time. Vital Healthcare Property Trust’s earnings growth over the past 12 months has exceeded the nz reits industry, with the company reporting an EPS growth of 57.33% while the industry totaled -3.27%. Interested in Vital Healthcare Property Trust? Find out more here.
Precinct Properties New Zealand Limited (NZSE:PCT)
PCT has an appealing dividend yield of 4.20% and their current payout ratio is 49.06% , with analysts expecting this ratio in three years to be 88.66%. PCT has been paying a dividend for the last 10 years, but shareholders have not seen an increase in dividends per share during this time. Precinct Properties New Zealand has been a solid performer in the last five years. Its earnings per share have grown by 14.14% each year in this period. More on Precinct Properties New Zealand here.
For more solid dividend paying companies to add to your portfolio, explore this interactive list of top dividend payers.