These real estate stocks top Bank of America’s buy list

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Investment Strategy Notícia

Stock Markets,S&P 500 Index,Welltower Inc

Bank of America lays out its top picks in the real estate sector.

Investors looking to get in on the recent rise in real estate stocks should focus on quality, according to Bank of America. The real estate sector of the S & P 500 has been moving higher over the past month or so and is now up 10% year to date, after being in the red earlier this year. The sector hit a 52-week high last week. Real estate investment trusts are also an income play, often paying out attractive dividends.

Ts continue to see demand given housing affordability issues and a majority of retail Ts will offer the best earnings and distribution growth," he wrote in the same note. Quality has the highest exposure to senior housing operating assets within our coverage universe and based on our demographic analysis has the best positioned portfolio," the bank said. "Longer term, demographic trends are favorable as baby boomers continue to age." Shares of Welltower are up 40% year to date. Mid-America Apartment Communities and American Homes 4 Rent are both residential housing plays.

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