Buying real estate investment trusts isn’t like buying other stocks; despite their high yields and big long-term returns, REITs require a bit more attention and a bit faster action than more popular dividend-payers, like blue chips and dividend-growth stocks.
But it’s more than just speed and care. To win with REITs, you need to follow three rules—and I’m going to show you those today.
These REIT rules have never been more important than they are now. Broadly, REITs are getting more valuable, but the market is getting more scared of them. This disconnect makes no sense and is partly the reason why two extremely healthy and valuable REITs—Sabra Health Care REIT (SBRA) and Care Capital Properties (CCP) recently merged.
In their announcement, both firms said the merger would save $20 million in costs annually, provide greater diversification and give the new company more cash for expansion. …