It’s essential for core dividend holdings to consistently raise their payouts over time. Without a steady uptick in the regular dole, inflation starts gnawing into investors’ returns. That dollar becomes 98 cents, becomes 96 cents, and – you get the picture.
And it’s especially important to keep tabs on the dividend growth of your real estate investment trusts (REITs). I want to buy REITs that are constantly raising their rent. Larger and larger rent checks create growing dividend checks for us!
Over the long run, REIT share prices move higher as their dividends move higher. These payouts also provide downside for lean years like last year, when the dividend was about all we got:
2017 wasn’t a fun year for REIT investors, with the Vanguard REIT ETF (VNQ) coming in essentially flat for the year without including dividends.…