Redwood Trust (RWT), Essential Properties (EPRT), Enbridge (ENB) Etc. – Yield Trees to the Sky!

  • 3 REIT Buys I am making: Redwood Trust (RWT), Essential Properties Realty Trust (EPRT), and Enbridge (ENB)
  • Opportunity for growth and steady REIT income
You know Money Vikings like passive income machines. I am adding to my existing Redwood Trust (RWT) holdings for this very reason. This is a REIT that provides an amazing approx.  5-6% yield. Where else will you get regular 5-6% income distributions just for holding shares? This is a mortgage REIT that has climbed steadily from its pandemic lows that shocked the system. There is also the potential for capital appreciation as the stock price is still off it’s pre-pandemic high. They most recently announced a 13% increase to their quarterly dividend. I like my investments to grow nice, tall and strong, just like those majestic redwoods. Enter Redwood Trust.

100 shares = about $1,200, each 100 share lot will produce $72 in annual dividend income.

Here is their description: Redwood Trust is a leading participant in several distinct areas of housing credit. Our consolidated portfolio has evolved to incorporate a diverse mix of residential, business purpose and multifamily investments. Our risk-minded culture and our values — which emphasize passion, integrity, change, growth, relationships, and results — underlie our methodical pursuit of becoming the nation’s most innovative participant in housing credit
Redwood Trust (RWT) declared a quarterly dividend of $0.18 per share for the second quarter, up 12.5% from the previous $0.16 per share dividend. Shares of the real estate investment trust rose 2.3% in Thursday’s extended market session. Redwood Trust’s annual dividend of $0.72 per share now reflects a dividend yield of 6.1%. Redwood Trust CEO Christopher J. Abate said, “We are pleased to increase the dividend we pay to shareholders. The Q2 dividend marks the third dividend increase in the past year and represents the strength of the earnings power from both our operating platforms and our investment portfolio.”
He added, “We remain committed to delivering a stable to growing dividend while continuing to strategically deploy capital going forward.”

Essential Properties Realty Trust (EPRT)

They have assembled a diversified portfolio using an investment strategy that focuses on properties leased to tenants in businesses such as restaurants (including quick service, casual and family dining), car washes, automotive services, medical services, convenience stores, entertainment, health & fitness and early childhood education. They believe that properties leased to tenants in these businesses are essential to the generation of the tenants’ sales and profits, and that these businesses exhibit favorable growth characteristics and are generally insulated from e-commerce pressure. This REIT is e-commerce resistant, which is critical going forward. It currently boasts an impressive 3.7% yield. I am buying on pull backs.

Enbridge (ENB)

This one is called “The growth King of midstream”. This one provides a whopping 6.9% current yield. The company has very high profitability and can sustain sending those dividends back to investors. Again, this is for those looking for places to park capital and enjoy some income. The company continues to invest heavily in capital growth. Another one I plan on adding to my current positions.

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