In this article, we discuss 5 best and reliable high dividend REITs to buy now. If you want to read our detailed analysis of the REIT sector and its performance, go directly to read 10 Best and Reliable High Dividend REITs to Buy Now.
5. Global Medical REIT Inc. (NYSE:GMRE)
Dividend Yield as of August 23: 7.25%
Global Medical REIT Inc. (NYSE:GMRE) is a net-lease medical office REIT that acquires and manages purpose-built healthcare facilities. In July, JMP Securities initiated its coverage of the stock with a Market Perform rating, highlighting the company’s lease renewals in the current market situation.
In Q2 2022, Global Medical REIT Inc. (NYSE:GMRE) reported revenue of $33.7 million, presenting a 19.4% growth from the same period last year. The company’s FFO for the quarter beat estimates by $0.01 at $0.25. In the first half of the year, the company reported $5.8 million in cash and cash equivalents and its total assets stood at over $1.3 billion. In the first six months of 2022, the company paid nearly $16 million in dividends to shareholders.
In June, Global Medical REIT Inc. (NYSE:GMRE) declared a quarterly dividend of $0.21 per share, raising it by 2.4% in March. The stock’s dividend yield stood at 7.25%, as recorded on August 23.
Global Medical REIT Inc. (NYSE:GMRE) was a popular stock among elite funds in Q2 2022, with hedge fund positions jumping to 14 from 6 in the previous quarter, as shown by Insider Monkey’s data. The stakes owned by these funds hold a total value of over $28.4 million. With nearly 1 million shares, AEW Capital Management owned the largest position in the company.
4. KKR Real Estate Finance Trust Inc. (NYSE:KREF)
Dividend Yield as of August 23: 8.95%
KKR Real Estate Finance Trust Inc. (NYSE:KREF) is a mortgage real estate investment trust. The company pays a quarterly dividend of $0.43 per share. As of August 23, the stock’s dividend yield stood at 8.95%.
KKR Real Estate Finance Trust Inc. (NYSE:KREF)’s Q2 2022 results surpassed Street estimates on various accounts. The company posted an EPS of $0.48 and revenue of $50 million, which beat estimates by $0.06 and $8.37 million, respectively. The company’s cash generation also remained stable during the quarter as it reported $35.2 million in free cash flow in the period, up from $33 million in the previous quarter. In the first half of the year, KKR Real Estate Finance Trust Inc. (NYSE:KREF) paid nearly $30 million in dividends to shareholders, which shows its secure FCF.
At the end of Q2 2022, 10 hedge funds in Insider Monkey’s database owned stakes in KKR Real Estate Finance Trust Inc. (NYSE:KREF), the same as in the previous quarter. The collective value of these stakes is over $28.4 million.
3. NexPoint Real Estate Finance, Inc. (NYSE:NREF)
Dividend Yield as of August 23: 9.36%
NexPoint Real Estate Finance, Inc. (NYSE:NREF) is a Texas-based REIT company that specializes in mortgage loans. In the second quarter of 2022, 14 hedge funds tracked by Insider Monkey owned stakes in the company, down from 15 in the previous quarter. These stakes hold a collective value of over $97 million. Israel Englander, Jim Simons, and Ken Griffin were some of the company’s most prominent stakeholders in Q2.
NexPoint Real Estate Finance, Inc. (NYSE:NREF) started paying dividends in 2020 and has raised its payouts twice since then. It currently pays a quarterly dividend of $0.50 per share and has a yield of 9.36%, as of August 23.
In Q2 2022, NexPoint Real Estate Finance, Inc. (NYSE:NREF) posted a GAAP EPS of $0.56, up from $0.41 in the prior-year quarter. The company’s net income stood at $8.5 million while its reported earnings for distribution came in at $12.6 million. In addition to this, the company generated over $12.6 million in free cash flow during the quarter.
2. Ares Commercial Real Estate Corporation (NYSE:ACRE)
Dividend Yield as of August 23: 9.75%
Ares Commercial Real Estate Corporation (NYSE:ACRE) reported strong earnings in Q2 2022, posting revenue of $25.1 million which shows a 7% growth from the same period last year. At the end of June, the REIT had $25.6 million available in cash and cash equivalents, and its total assets came in at $2.7 billion. In the first half of the year, it paid over $19 million in dividends to shareholders, up from $16.6 million at the end of December.
Ares Commercial Real Estate Corporation (NYSE:ACRE) pays a quarterly dividend of $0.33 per share, with a dividend yield of 9.75%, as recorded on August 23. The company also paid a supplemental dividend of $0.02 per share in May, which was its third supplemental dividend to shareholders since 2021.
At the end of Q2 2022, 7 hedge funds tracked by Insider Monkey owned investments in Ares Commercial Real Estate Corporation (NYSE:ACRE), growing from 5 in the previous quarter. These stakes hold a combined value of over $23.6 million, compared with $7.3 million worth of stakes owned by hedge funds in the previous quarter.
1. Arbor Realty Trust, Inc. (NYSE:ABR)
Dividend Yield as of August 23: 10.2%
Arbor Realty Trust, Inc. (NYSE:ABR) is a New York-based REIT that provides debt capital for the multifamily loan and commercial real estate industries. In Q2 2022, the company reported $94.2 million in revenue, up 60.4% from the same period last year. Its cash position was strong as it had over $1 billion available in real estate-related assets and cash. At the end of June, the company reported nearly $342 million in cash and cash equivalents.
Arbor Realty Trust, Inc. (NYSE:ABR) has been raising its dividends consistently for the past nine years, which represented a 30% growth over these years. It currently pays a quarterly dividend of $0.39 per share and has a yield of 10.2%, as of August 23. Its payout ratio is also safe, as it currently spends 75% of its distributable earnings on dividends.
As of the close of Q2 2022, 12 hedge funds in Insider Monkey’s database owned stakes in Arbor Realty Trust, Inc. (NYSE:ABR), down from 14 in the previous quarter. The collective value of these stakes is over $74.5 million.
You can also take a look at 10 Best REIT ETFs to Buy Now and 10 Best Bear Market Stocks to Buy According to Morgan Stanley
