Work out reit dividend yield instantly with clear inputs, formula shown and shareable results.
A real estate investment trust must distribute most of its rental income, so the distribution yield is the main component of return. Because distributions vary with occupancy and rate resets, the yield is an estimate rather than a promise.
Distribution yield
Yield = annual distribution per unit / unit price × 100
Figures are estimates for planning only. Market returns are not guaranteed, and rates, limits and tax rules change. This is not financial or tax advice — speak to a qualified adviser before acting.
Similar in effect, but the components — rent, interest and capital return — can be taxed differently in the holder's hands.
Their income is bond-like, so higher yields elsewhere make the same distribution less attractive.