Realty Income REIT pays monthly dividends taxed as ordinary income, which can lead to substantial tax costs in taxable accounts, especially for investors in higher tax brackets. Holding these shares in a Roth IRA eliminates the tax on dividends, preserving more income and allowing tax-free compounding. For example, a $250,000 position at a 24% tax bracket saves over $3,000 annually, which can grow to tens of thousands over time. Investors should consider placing REITs like Realty Income in Roth accounts to maximize after-tax returns and evaluate Roth conversions for existing holdings.
Top federal tax bracket earners face a $22,200 annual tax hit on $60,000 of ordinary dividend income from REITs and BDCs held in taxable accounts, compared to no tax in Roth accounts. This tax drag compounds significantly over time, potentially costi...
Agree Realty, a retail net-lease REIT, pays dividends taxed as ordinary income, making Roth IRA the preferred holding for tax efficiency. With a 4.2% yield and monthly distributions, holding Agree in a Roth IRA avoids federal taxes that can consume 2...
Realty Income Corporation, a dividend aristocrat, is trading below its historical price-to-funds-from-operations ratio, making it an attractive buy. The company reported 6.6% year-over-year growth in adjusted funds from operations per share in Q1 202...
Realty Income Corporation reported a 12.2% revenue increase and 6.6% growth in AFFO per share in Q1 2026, prompting an increase in its 2026 investment guidance to $9.5 billion. The company’s strong investment volume, expanding private capital vehicle...
