How I got into REIT trading is a funny or tragic story depending on how you look at it. Many years ago I moved out of my first home but was stuck. The housing market tanked so I had to rent it out. Well even though I had renters for four years I can say it was no picnic.
You get the random call that they broke something, or that their are ants in the home. Then my favorite is when they said they “accidentally spent” the rent money. In the end I never wanted to rent a home again or if I did I would get a far better property manager. So I sold the property when the market got better and was lucky to break even.
Well some time pasted and people kept telling me I need to get back into renting homes. So I was trying to find an easier way to get back 7% on my investment without having to buy property and that is when a good friend of mine told me about REITs.
So what is a REIT?
REIT stands for real estate investment trust (REIT). It is a a closed-end investment company that owns assets related to real estate such as buildings, land and real estate securities. When you buy stock in a REIT you are putting money towards a company that is in the real estate business that does all the work and you get paid in dividends and when the stocks go up.
You can trade them as much as you like and you don’t have to own a single piece of land again.
Now I have been trading REITs for little over a year now and I have found some good ones that I like to use from time to time.
The next question you might have is what app do I use to my stocks? Well I use RobinHood
I found having this app on my phone and the alerts that I get have helped to keep me on top of my stocks and if you use this link (http://bit.ly/2WL5SiB) you can sign up as well for it and get a free stock for signing up!
PLEASE HEAR ME OUT. DO YOUR OWN RESEARCH TO MAKE SURE THESE STOCKS ARE FOR YOU BECAUSE IN THE END THIS IS YOUR MONEY YOU ARE USING!!
5)Industrial Logistics Properties Trust N
First some history on this company according to their site. As of December 31, 2018, ILPT owned 270 industrial and logistics properties with 29.5 million rentable square feet which are approximately 99.3% leased to 248 different tenants with a weighted average remaining lease term of approximately 10.3 years.
This means the average tenant is signed for a 10 year lease. Which makes this stock very stable year over year. As you can see from the graph they did take several hits but I saw similar hits with other REITs. But near the end of the 1st quarter 2019 they have been seeing a increase. Now this screenshot was taken last week and as of today they are trading .5 cents more in less than 10 days.
So if you took that over 100 shares you would seen a 5 dollar profit. Now I know you are thinking more of the Gordon Gekko means the Wolf of Wall Street. But with REITs when stable might only gain .20 cents here in their.
This stock does offer a 4.728 Div/Yield which is nice.
4) Medical Properties Trust, Inc. NYSE: MPW
I call this REIT my security weapon. As you can see it has been doing better month after month but this is because the type of REIT it is. Medical Properties Trust, Inc. is a real estate investment trust that invests in healthcare facilities. For the most part Medical facilities cost billions to be made and take years to create and become permanent fixtures where they are made.
Since taking this screenshot for this article this this stock has gone up by over 10 cents. Which is a nice jump for less than 10 days. They also are paying out 6.219 Div/Yield.
3) Kimco Realty Corp NYSE: KIM
For those of you who don’t know Kimco Realty is a real estate investment trust that invests only in shopping centers. Which is like malls or stores. According to their
They pay out a Div/Yield of 7.645. They do have dips from time to time, but from what I have seen it looks like they could have a strong second quarter.
2) Physicians Realty Trust NYSE: DOC
I stumbled on these guys while looking for just another REIT to add to my portfolio. As per their
“Physicians Realty Trust is on a mission to help medical providers, developers, and shareholders realize better healthcare, better communities, and better returns. ”
They seem to make good on their claim with having a DIV/Yield of 5.739.
As you can see the chart above they did take a hit near the end of 2018 but has since recovered and is climbing.
1) Brixmor Property Group Inc NYSE: BRX
This is my go to pic when I first got into REITs. This company has the following people as customers.
|Bed Bath & Beyond|
After seeing this I dropped my first $100 on these guys. Now Brixmor Property Group’s history traces back in late 2003 when Centro Properties Group an Australian shopping mall firm, entered the United States market by the purchase of 14 neighborhood, community and power centers in California.
Since then they have been on the grow.
They have a 7.522 Div/
In concluson, these were my first picks when I got into the REIT trade and I would recommend them to anyone that is looking for a turn around in 2nd qtr 2019.