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Real estate is an excellent industry to find long-term investments. It’s also a great industry to find high-quality dividend stocks to buy, especially after the market entered correction territory.
Many real estate stocks constantly bring in cash flow each month or quarter. Plus, a lot of these stocks have high-quality and defensive operations.
So, it makes sense that these are some of the best and most reliable dividend stocks and that they offer consistent growth in the passive income they’re returning to investors.
Therefore, if you’re looking to increase your passive-income stream and buy high-quality dividend stocks while they’re on sale, here are three of the best Canadian real estate stocks to buy now.
One of the best high-yield dividend stocks in the real estate sector
If you’re an investor looking for a significant yield, there might not be a better real estate stock to buy than CT REIT (TSX: CRT.UN). CT REIT is the highest-yielding Canadian Dividend Aristocrat stock in the real estate sector, currently offering a yield of roughly 5.4%.
The stock is also one of the best and most reliable real estate stocks and certainly proved so through the pandemic. One of the biggest reasons CT REIT has been so safe is that it’s owned by and gets more than 90% of its rental revenue from Canadian Tire.
The stock may not offer as much growth as other high-quality real estate stocks. However, it offers an attractive and growing dividend that’s proven to be safe.
If you’re looking for real estate stocks to buy on sale today, CT REIT is one of the best to look into.
A top long-term growth stock
Another high-quality dividend stock, and, in fact, the real estate stock that’s had the longest track record of being on the Canadian Dividend Aristocrats list, is Granite REIT (TSX: GRT.UN).
Granite is an industrial REIT that has tons of long-term growth potential. However, it’s also an attractive dividend stock with an appealing yield that, after its recent selloff, has risen to almost 3.9%.
But while the dividend certainly makes the stock compelling, the true reason to buy Granite is for the long-term growth potential that it offers.
Therefore, the fact that you can buy the real estate stock at an attractive discount today, makes it one of the best investments you can make in this environment.
One of the best residential REITs in Canada
Lastly, a top residential REIT that offers an attractive mix of growth and income is Morguard North American Residential REIT (TSX: MRG.UN).
Morguard owns an attractive portfolio that’s diversified well, with assets located in Ontario, Edmonton, and all across the United States. So, it’s a REIT you can have confidence owning for the long haul, as residential real estate is highly defensive.
Plus, the stock also offers a tonne of long-term growth potential, particularly with much of its assets located across the United States where its constantly recycling capital.
And for dividend investors looking to start earning a return right away, after the recent correction, Morguard’s dividend now yields roughly 4.2%.
Therefore, if you’re looking to add a top residential REIT to your portfolio, Morguard is certainly one of the best real estate stocks to buy now.