If you mostly buy goods when they’re on sale, why should it be any different when it comes to investments.
The yields on REITs are very good lately:
AREIT – 6.66%
CREIT – 7%
RCR – 7.22%
MREIT – 7.66%
Their potential price upside is also very good:
AREIT +27%
CREIT +22%
RCR +34%
MREIT +16%
I excluded DDMPR and FILRT because they have not shown dividend stability and are laggards in infusing properties. When everything is on sale, focus on buying the high quality REITs instead.
VREIT and PREIT are essentially trash and I will not touch them. Last I’ve heard is that VREIT is under a trading suspension and PREIT is a zombie REIT with only half its body limping along.
REITs are down, not because their tenants have left, but because of rising interest rates and investors are reallocating funds to bonds. If you bought these REITs at the top and currently sitting in the negative, don’t get discouraged. Interest rates move up and down in cycles and therefore REIT prices will do so over time as well. Think of it this way, will you sell a commercial building with good occupancy that you own outright just because its valuation changed? Probably not. Instead you might just buy the one beside it.