9 REIT's to keep you fully diversified

Okay so let's take a look today at owning a piece of the real estate pie through owning REIT's. 

Real Estate Investment Trust or REITs is a way for you to invest in real estate without actually owning property. You have a share or a portion of the business and you don't have to worry about tenants plus if you pick some good ones or own different types you can get a good return on your money.

Today we are going to look at REITs with 8 different types of specialities.

 

1.) Commercial retail space

2.) Industrial space

3.) Multi Family Homes

4.) Malls

5.) Airports

6.) Farm Lands

7.) Renewable Energy

8.) Health care

Because of the tax laws REITS have a high payout ratio which means that they pay out a lot of their profits to actual shareholders. A lot of the profits are paid out in the form of dividends.  You received the dividends on a monthly basis from some REITS like Reality Income(O) and some you receive it on a quarterly basis. Some dont pay a dividend and the returns come in the form of your equity invested in the stock.

In commercial real estate we have Reality Income (O). They have top-tier tenants like Walgreens, Walmart as well as popular health clubs like LA Fitness. They pay a monthly dividend and the stock has a five-year growth about 70 %. Reality income offers a net lease which means that their tenants are responsible for any repairs or additional cost to the property in addition to the rent that they pay.

The next REIT is in the industrial sector which is STAG Industrial (STAG). Stag owns Distribution warehouses throughout the entire United States. They pay a monthly dividend and the stock has a five-year growth off 31%.

Next we have Arbor Realty Trust the ticker is ABR. Arbor Realty Trust  specializes in mortgages on multi-family homes. The stock pays a 9% dividend and it has grown 119% over the last 5 years. 

Next up we have malls and in this category we have 2  REIT'S Simon properties (SPG) and Macerich (MAC). Both pay dividends of 4% and 6% respectively. They both own large malls all over the united states and both REIT'S are down 13% and 57% over the last 5 years.

Airports is the next sector and the company is Grupo Aeroportuario del Pacifico ( PAC ). They operate Airports in Mexico and Jamaica. The stock does not pay a dividend but it is up 70% over the last 5 years.

Farm Lands is next sector and we have Farmland Partners inc, they specialize in owning and leasing farmland for crops. The stock is down 35% over the last five years but they pay a hefty dividend of 7%.

Next is renewable energy sector and the company we are looking at is Brookfield Renewable Partners (BEP).  The company provides renewable energy from sources like hydroelectricity, solar and windmills. The stock pays a 7% dividend and the stock is up 48% over the last five years. 

And the last company is in the healthcare segment and this is Ventas the ticker is VTR and they offer Healthcare facilities for rent. They pay a dividend of 5% and the stock is down 1% over the last five years.  

Okay so there you have it real estate investment trust (REIT'S)  that you can invest in, that for the most part pay a dividend and the stock has a decent growth over the five-year period. These are diversified over 8 different segments. Let me know what you think in the comment section below or if there are any other great REIT'S that I missed please leave it in the comments below.