The S 500 has been on fire over the past year. The broad market index has rallied nearly 25% in the last 12 months. Most stocks in the S 500 followed it higher.

However, there's a segment of the market that has underperformed: real estate investment trusts (REITs). Higher interest rates have weighed on real estate values and REIT stock prices. Several top-flight REITs currently sit about 15% or more below their 52-week high, including Realty Income (NYSE: O), Extra Space Storage (NYSE: EXR), and Mid-America Apartment Communities (NYSE: MAA). As a result, investors can buy these magnificent dividend stocks at lower prices, locking in higher dividend yields.

Realty Income has a stellar record of growing its dividend. The diversified REIT has raised its payout 125 times since its public market listing in 1994 and for 107 straight quarters. It has grown the dividend at a 4.3% compound annual rate over that period, including by 2.1% last month.

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Source Fool.com