11 Best REIT Dividend Stocks to Buy in 2025

6. Realty Income Corporation (NYSE:O)

Number of Hedge Fund Holders: 32

Realty Income Corporation (NYSE:O) is one of the best dividend stocks in the REIT sector. The company is widely recognized as a monthly dividend stock, distributing dividends each month. In June 2025, the company declared its 660th consecutive monthly dividend and marked its 131st dividend increase since it began trading on the NYSE three decades ago.

Realty Income Corporation (NYSE:O) earns highly predictable rental income from a broad and well-diversified portfolio that spans retail, industrial, gaming, and data center properties. More than 90% of its rental revenue comes from tenants in sectors that are either less affected by economic downturns or largely shielded from e-commerce disruption. These properties are typically leased on a net basis to financially strong tenants under long-term agreements that often include built-in annual rent increases, supporting consistent growth in rental income.

As of mid-2025, Realty Income Corporation (NYSE:O) maintains a conservative dividend payout ratio of under 75% and boasts one of the most robust balance sheets among REITs, with a leverage ratio of 5.4 times. This financial strength allows the company to continue acquiring cash-generating properties.

Realty Income Corporation (NYSE:O) expects that a mix of rising rental revenue and ongoing portfolio growth will increase its funds from operations (FFO) per share by 4% to 5% annually. This growth outlook supports the REIT’s ability to keep raising its already attractive monthly dividend. The company currently offers a monthly dividend of $0.269 per share and has a dividend yield of 5.57%, as of June 23.