Sectors & Industries Real EstateREIT - Residential
Best Residential REIT Stocks to Buy Now (2023)
Top residential reit stocks in 2023 ranked by overall Zen Score. See the best residential reit stocks to buy now, according to analyst forecasts for the reit - residential industry.

Industry: REIT - Residential

Overview Zen Score Price Valuation Financials Forecast

Earnings & Revenue Dividends Ownership Technicals

Ticker	Company	Market Cap	Price	Price Target	Upside/Downside	Consensus	Analysts	Fore. Revenue Growth	Fore. Earnings Growth	Forecast ROE	Forecast ROA
AMH	AMERICAN HOMES 4 RENT	$12.62B	$34.89	$35.71	2.34%	Buy	12	4.59%	45.13%	10.27%	5.65%
INVH	INVITATION HOMES INC	$21.11B	$34.49	$35.23	2.15%	Buy	13	4.98%	112.63%	N/A	N/A
ESS	ESSEX PROPERTY TRUST INC	$14.67B	$228.55	$236.54	3.49%	Hold	16	4.57%	32.65%	N/A	N/A
CPT	CAMDEN PROPERTY TRUST	$11.49B	$107.62	$124.80	15.96%	Buy	10	3.74%	12.06%	N/A	N/A
BRT	BRT APARTMENTS CORP	$369.40M	$19.26	$25.50	32.40%	Strong Buy	2	N/A	N/A	14.82%	5.01%
MAA	MID AMERICA APARTMENT COMMUNITIES INC	$17.58B	$150.66	$167.62	11.25%	Buy	13	4.53%	21.15%	N/A	N/A
SUI	SUN COMMUNITIES INC	$16.49B	$132.57	$158.67	19.69%	Buy	6	3.94%	73.80%	N/A	N/A
IRT	INDEPENDENCE REALTY TRUST INC	$4.04B	$17.97	$19.88	10.60%	Buy	8	8.23%	141.16%	9.20%	5.05%
AVB	AVALONBAY COMMUNITIES INC	$25.73B	$181.20	$191.43	5.65%	Buy	15	5.48%	17.62%	N/A	N/A
CSR	CENTERSPACE	$926.65M	$61.94	$65.00	4.94%	Buy	4	2.40%	129.86%	9.97%	3.83%
ELS	EQUITY LIFESTYLE PROPERTIES INC	$12.31B	$66.09	$74.08	12.09%	Buy	6	4.57%	28.98%	N/A	N/A
UDR	UDR INC	$13.55B	$41.16	$49.28	19.72%	Buy	9	5.00%	109.39%	N/A	N/A
EQR	EQUITY RESIDENTIAL	$23.91B	$63.09	$65.60	3.98%	Hold	10	3.74%	19.74%	N/A	N/A
UMH	UMH PROPERTIES INC	$962.39M	$15.85	$19.00	19.87%	Strong Buy	2	5.39%	N/A	11.85%	5.10%
NXRT	NEXPOINT RESIDENTIAL TRUST INC	$1.12B	$43.58	$59.00	35.38%	Buy	2	3.68%	N/A	N/A	N/A
AIV	APARTMENT INVESTMENT & MANAGEMENT CO	$1.29B	$8.66	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A
AIRC	APARTMENT INCOME REIT CORP	$5.35B	$35.89	$40.25	12.15%	Strong Buy	4	3.35%	-7.31%	N/A	N/A
VRE	VERIS RESIDENTIAL INC	$1.54B	$16.79	$18.00	7.21%	Strong Buy	3	2.29%	N/A	N/A	N/A

Residential REIT Stocks FAQ

What are the best residential reit stocks to buy right now in Jun 2023?

According to Zen Score, the 3 best residential reit stocks to buy right now are:

1. American Homes 4 Rent (NYSE:AMH)

American Homes 4 Rent (NYSE:AMH) is the top residential reit stock with a Zen Score of 49, which is 19 points higher than the residential reit industry average of 30. It passed 18 out of 38 due diligence checks and has strong fundamentals. American Homes 4 Rent has seen its stock lose -8.21% over the past year, overperforming other residential reit stocks by 11 percentage points.

American Homes 4 Rent has an average 1 year price target of $35.71, an upside of 2.34% from American Homes 4 Rent's current stock price of $34.89.

American Homes 4 Rent stock has a consensus Buy recommendation according to Wall Street analysts. Of the 12 analysts covering American Homes 4 Rent, 25% have issued a Strong Buy rating, 25% have issued a Buy, 50% have issued a hold, while 0% have issued a Sell rating, and 0% have issued a Strong Sell.

2. Invitation Homes (NYSE:INVH)

Invitation Homes (NYSE:INVH) is the second best residential reit stock with a Zen Score of 45, which is 15 points higher than the residential reit industry average of 30. It passed 17 out of 38 due diligence checks and has strong fundamentals. Invitation Homes has seen its stock lose -11.11% over the past year, overperforming other residential reit stocks by 8 percentage points.

Invitation Homes has an average 1 year price target of $35.23, an upside of 2.15% from Invitation Homes's current stock price of $34.49.

Invitation Homes stock has a consensus Buy recommendation according to Wall Street analysts. Of the 13 analysts covering Invitation Homes, 30.77% have issued a Strong Buy rating, 15.38% have issued a Buy, 53.85% have issued a hold, while 0% have issued a Sell rating, and 0% have issued a Strong Sell.

3. Essex Property Trust (NYSE:ESS)

Essex Property Trust (NYSE:ESS) is the third best residential reit stock with a Zen Score of 40, which is 10 points higher than the residential reit industry average of 30. It passed 15 out of 38 due diligence checks and has average fundamentals. Essex Property Trust has seen its stock lose -20.6% over the past year, underperforming other residential reit stocks by -1 percentage points.

Essex Property Trust has an average 1 year price target of $236.54, an upside of 3.49% from Essex Property Trust's current stock price of $228.55.

Essex Property Trust stock has a consensus Hold recommendation according to Wall Street analysts. Of the 16 analysts covering Essex Property Trust, 25% have issued a Strong Buy rating, 12.5% have issued a Buy, 43.75% have issued a hold, while 6.25% have issued a Sell rating, and 12.5% have issued a Strong Sell.

What are the residential reit stocks with highest dividends?

Out of 16 residential reit stocks that have issued dividends in the past year, the 3 residential reit stocks with the highest dividend yields are:

1. Brt Apartments (NYSE:BRT)

Brt Apartments (NYSE:BRT) has an annual dividend yield of 5.19%, which is 2 percentage points higher than the residential reit industry average of 3.36%. Brt Apartments's dividend payout is stable, having never dropped by more than 10% in the last 10 years. Brt Apartments's dividend has shown consistent growth over the last 10 years.

Brt Apartments's dividend payout ratio of 54.6% indicates that its high dividend yield is sustainable for the long-term.

2. Umh Properties (NYSE:UMH)

Umh Properties (NYSE:UMH) has an annual dividend yield of 5.11%, which is 2 percentage points higher than the residential reit industry average of 3.36%. Umh Properties's dividend payout is stable, having never dropped by more than 10% in the last 10 years. Umh Properties's dividend has shown consistent growth over the last 10 years.

Umh Properties's dividend payout ratio of -120.1% indicates that its high dividend yield might not be sustainable for the long-term.

3. Centerspace (NYSE:CSR)

Centerspace (NYSE:CSR) has an annual dividend yield of 4.71%, which is 1 percentage points higher than the residential reit industry average of 3.36%. Centerspace's dividend payout is not stable, having dropped more than 10% one times in the last 10 years. Centerspace's dividend has not shown consistent growth over the last 10 years.

Centerspace's dividend payout ratio of 138.4% indicates that its dividend yield might not be sustainable for the long-term.

Why are residential reit stocks up?

Residential reit stocks were up 3.36% in the last day, and up 5.15% over the last week. Essex Property Trust was the among the top gainers in the reit - residential industry, gaining 4.28% yesterday.

Shares of REITs and real estate companies are trading higher amid overall market strength following Senate passage of a debt limit bill.

What are the most undervalued residential reit stocks?

Based on WallStreetZen's Valuation Score, the 3 most undervalued residential reit stocks right now are:

1. Centerspace (NYSE:CSR)

Centerspace (NYSE:CSR) is the most undervalued residential reit stock based on WallStreetZen's Valuation Score. Centerspace has a valuation score of 71, which is 39 points higher than the residential reit industry average of 32. It passed 5 out of 7 valuation due diligence checks.

Centerspace's stock has dropped -27.39% in the past year. It has underperformed other stocks in the residential reit industry by -8 percentage points.

2. American Homes 4 Rent (NYSE:AMH)

American Homes 4 Rent (NYSE:AMH) is the second most undervalued residential reit stock based on WallStreetZen's Valuation Score. American Homes 4 Rent has a valuation score of 57, which is 25 points higher than the residential reit industry average of 32. It passed 4 out of 7 valuation due diligence checks.

American Homes 4 Rent's stock has dropped -8.21% in the past year. It has overperformed other stocks in the residential reit industry by 11 percentage points.

3. Equity Residential (NYSE:EQR)

Equity Residential (NYSE:EQR) is the third most undervalued residential reit stock based on WallStreetZen's Valuation Score. Equity Residential has a valuation score of 43, which is 11 points higher than the residential reit industry average of 32. It passed 3 out of 7 valuation due diligence checks.

Equity Residential's stock has dropped -18.95% in the past year. It has performed in line with other stocks in the residential reit industry.

Are residential reit stocks a good buy now?

64.71% of residential reit stocks rated by analysts are a buy right now. On average, analysts expect residential reit stocks to rise by 10.7% over the next year.

What is the average p/e ratio of the reit - residential industry?

The average P/E ratio of the reit - residential industry is 42.12x.

WallStreetZen does not provide financial advice and does not issue recommendations or offers to buy stock or sell any security.

Information is provided 'as-is' and solely for informational purposes and is not advice. WallStreetZen does not bear any responsibility for any losses or damage that may occur as a result of reliance on this data.