Hungry for Income? Try These REITs

摘要

One day, interest rates on bonds and money-market funds will climb out of the basement. Until then, investors looking for dependable income sources have little choice but to sift through the long list of real estate investment trusts, which pay an average dividend yield of 5.8%, more than triple the typical stock. But can any REIT still be worth buying? The group has trounced the broad market each year since 2000. Over the last three years, REITs have returned an annual average of nearly 19%, while the Standard & Poor's 500-stock index lost 5.5% a year. If interest rates do rise, as I expect, won't REITs be hurt, since borrowed money is the mother's milk of real estate? No question, finding the right REITs today takes care.