Should You Buy These 3 Low-Dividend Real Estate Stocks?

Real estate investing, whether through real estate stocks or directly in properties, is all about income. You buy real estate, sometimes you fix it up or completely develop it, and then you rent it out. Over time, the combination of leverage and rising rents produces plenty of profit.

Unsurprisingly, the most popular type of real estate stocks, real estate investment trusts, or REITs, typically sport high dividend yields -- sometimes in the double digits. Knowing that, many investors avoid real estate stocks with low dividends, so if a REIT doesn't have a high dividend, what's it doing wrong?

The three stocks we're going to look at, Weyerhaeuser (NYSE: WY), Farmland Partners (NYSE: FPI), and Howard Hughes Corp. (NYSE: HHC), all occupy different niches of the real estate market and for one reason or another have (relatively) low dividend yields. Let's take a look at each one and discuss whether they may still be good buys.

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Source Fool.com