Updated: September 30, 2016
Is it too late to buy REITs (real estate investment trusts)? It depends. Some lesser-known issues are still great bargains, while others have rallied to nosebleed valuations.
I’ll highlight three specific buys – and tell you what you should sell – in a moment. First, let me show you why investors are hesitant about REITs:
How Hot is Too Hot?
These are the price-only returns (not including dividends) of four REITs. Three of them are quite popular, while one—Government Properties Trust (GOV)—is extremely controversial. Note the controversial one is up 49% year-to-date!
That’s amazing, but the usual stability of popular dividend payers like Realty Income Corporation (O) and National Retail Properties (NNN) means they should not be up 30% in less than a year.… Read more