4 Monthly Dividend Stocks That Could Deliver Retirement Income on a Regular Schedule

Many dividend stocks pay every quarter, which can make budgeting awkward for retirees. These four REITs are different: they distribute cash at various points during each month, though each one still needs to prove it can support its payout over time.

Retirement expenses arrive monthly, and these four real estate investment trusts, or REITs, send out monthly dividends as well. Realty Income (NYSE:O), Agree Realty (NYSE:ADC), LTC Properties (NYSE:LTC), and EPR Properties (NYSE:EPR) each pay on a monthly basis, and their payment dates are staggered across the month, creating something like a built-in income calendar. For retirees, the main issue is whether those dividends are supported by cash flow, protected by a solid balance sheet, and reinforced by a dependable history. On that front, Realty Income recently marked its 676th consecutive monthly common stock dividend. Here is a closer look at all four.

Realty Income: 116 Consecutive Quarterly Increases and Still Going

Realty Income offers a forward annual dividend of $3.258 per share. Based on a recent share price of $58.89, that implies a forward yield of roughly 5.5%, firmly placing it in high-yield territory. The next payment is scheduled for November 13.

Dividend safety: In the third quarter, adjusted funds from operations, or AFFO, reached $1.12 per diluted share, up 3.7% from a year earlier. Dividends paid during the quarter totaled $0.813 per share, equal to about 73% of AFFO. Management lifted full-year AFFO guidance to $4.45 to $4.46. Occupancy stands at 98.8%, and the stock trades at 14.08 times free cash flow, translating into a 7.1% free cash flow yield. Liquidity is supported by a $5.5 billion revolving credit facility. Realty Income also announced its 116th straight quarterly dividend increase, and its 136th since listing on the NYSE in 1994. Over the past year, the monthly dividend climbed from $0.2695 to $0.2715.

Bull case: Size helps keep the increases coming. Realty Income invested $2.6 billion at an initial cash yield of 6.8%, about 170 basis points above its leverage-neutral cost of capital, and data centers accounted for 11.7% of third-quarter new investments. Quarterly revenue rose to $1.62 billion, an increase of 10.3%. For retirees, that means modest but consistent dividend growth from a landlord with exposure to retail, industrial, gaming, and digital infrastructure tenants.

Risk: Borrowing costs are rising. Interest expense increased to $333.6 million from $294.5 million, while net debt stands at 7.8 times EBITDA. That leaves less flexibility if rates remain elevated.

Agree Realty: Best Balance Sheet in the Group

Agree Realty recently increased its monthly dividend to $0.271 from $0.267, bringing the annualized forward rate to $3.252. At $69.70 per share, the forward yield is about 4.7%. It offers the lowest yield among these names, but also the strongest balance sheet.

Dividend safety: Second-quarter AFFO came in at $1.14 per share, up 7.4% year over year, versus roughly $0.801 in dividends paid for the quarter. That equals a payout ratio of about 70% of AFFO. Full-year AFFO guidance was raised to $4.57 to $4.59. Agree Realty carries investment-grade ratings of A- from Fitch, Baa1 from Moody’s, and BBB+ from S&P, along with $1.9 billion in liquidity and net debt to recurring EBITDA of 5.2 times, or 3.7 times on a pro forma basis. The company has delivered 172 consecutive common dividends, and the monthly payout has steadily risen from $0.217 in late 2020.

Bull case: This portfolio is designed to hold up in a downturn. Agree Realty owns 2,825 net-lease retail properties across all 50 states and Washington, D.C., with occupancy at 99.8% and a weighted-average lease term of 11.2 years. Tenants include Walmart, Tractor Supply, Dollar General, TJX Companies, and Kroger. The company purchased a record $502 million of properties in the second quarter at a 7.0% cap rate, then lifted full-year investment guidance to $1.6 billion to $1.8 billion. Shares are down 0.89% so far this year, even as the dividend has continued to rise.

Risk: Growth is partly financed through share issuance, which can dilute per-share results. Second-quarter earnings per share of $0.44 fell short of the $0.47 consensus after the company raised about $686 million of forward equity in the first half.

LTC Properties: Late-Month Income Supported by Seniors Housing

LTC Properties pays $0.19 per month, or $2.28 annually. At $45.14, that works out to a forward yield of about 5.1%. Its dividend typically arrives near month-end, with the next payments due on November 30 and December 31. That helps fill the gap left by the other mid-month payers in this group.

Dividend safety: Third-quarter Core FFO was $0.71 per share and Core FAD was $0.73, compared with a quarterly dividend of $0.57. That implies a payout ratio of about 80% of Core FFO. LTC reaffirmed full-year guidance of $2.76 to $2.78 for Core FFO and $2.83 to $2.85 for Core FAD. The company holds $183 million in cash and has increased its credit facility to $1.0 billion. The monthly dividend has held at $0.19 since 2017, up from $0.11 in 2005. For retirees, this is more about consistency than rapid growth. The reported GAAP EPS of $6.39 should be viewed in context, since it included a $324 million gain on asset sales.

Bull case: LTC is shifting toward seniors housing it operates itself through its SHOP portfolio, a segment that benefits from population aging. SHOP acquisitions have reached nearly $950 million so far this year, and the business is expected to represent about 50% of annualized NOI by year-end and 75% by the end of 2028. Core SHOP occupancy improved to 91.0% from 89.4% in the first quarter, when guidance was based on roughly 13% NOI growth. Shares are up 39.83% year to date.

Risk: Under this operating model, LTC takes on the volatility of running the communities rather than simply collecting rent. Results depend on 14 third-party SHOP operators managing staffing and occupancy effectively.

EPR Properties: Highest Yield and Strongest Cushion

EPR Properties pays $0.31 per month, or $3.72 on an annualized basis. At $60.08, the forward yield is about 6.2%, making it the only ultra-high-yield name in this group. Investors should expect the next payout on November 16.

Dividend safety: EPR has the most coverage of the four. CFO Mark Peterson said on the third-quarter call that the company’s common dividend remains “very well-covered” with an AFFO payout ratio of 60% for the quarter. AFFO increased to $1.54 per diluted share, up 10.8%. The company also recently stopped subtracting maintenance capex from AFFO, a change management described as immaterial. Full-year FFOAA guidance was raised to $5.49 to $5.57. Tenant rent coverage is 2.1 times, fixed charge coverage is 3.5 times, and the $1 billion revolver had no outstanding balance. There is one gap in its history: monthly payments paused after the April 29, 2020 ex-date and resumed in July 2021. Since then, the dividend has increased from $0.275 to its current level.

Bull case: Spending on experiences is holding up well. Theater box office is up about 20% so far this year. EPR is investing at an initial cash yield of about 8.3% and has added Live Nation and Life Time as tenants while working to reduce theaters from 34% of rent to around 20%. CEO Greg Silvers said on the third-quarter call, “What we’re seeing is people choosing experiences over stuff.”

Risk: A small number of tenants make up a large share of rent. The top 10 tenants account for 68.0% of base rent, led by Topgolf at 14.5%, AMC at 14.2%, and Regal at 10.2%.

Four Income Payments, One Monthly Schedule

Realty Income and Agree Realty both pay on November 13, EPR follows on November 16, and LTC pays on November 30, so the dividends are spread throughout the month. Realty Income and Agree Realty offer the longest records of dividend growth and the stability of net-lease assets. LTC adds dependable late-month income through seniors housing. EPR provides the highest yield, with substantial coverage behind it. Each of these payouts is supported by recurring cash flow, so the monthly checks are about more than timing alone.