There is an adage among real estate investors that basically says, “You can’t make or create any more land.” While you can always build higher, you still need the land. One of the best assets that most investors are underweighted on is real estate. Though those that own a home are technically real estate investors, homeownership does not produce any income, unless you have rental homes, which can be very capital intensive and time-consuming.
We screened our 24/7 Wall St. real estate investment trust (REIT) universe looking for the highest yielding REITs that are publicly traded. It should be noted that REITs can be very vulnerable to sharp rises in interest rates. However, many across Wall Street feel that the Federal Reserve will not begin raising the federal funds rate from the current 0.25% level until 2023.
We found five top stocks that all have at least a 5% or higher distribution and are rated Buy at top Wall Street firms. It is important to remember that no single analyst report should be used as a sole basis for any buying or selling decision.
This article originally appeared at 24/7 Wall St.