On Tuesday the Reserve Bank of Australia held its August meeting and decided to keep the cash rate on hold at the record low of 1.0%.
Whilst the central bank didn't make a move this month, I continue to believe that another cut is coming in the near future.
In light of this, if you're in search of a source of income then I feel the share market is the best place to find it thanks to the numerous high quality dividend shares it has to offer.
Three which I would buy this week are listed below:
Australia and New Zealand Banking Group (ASX: ANZ)
I think Australia's big four banks are all attractively priced right now and could be good options for income investors that don't already have exposure to the sector. My favourite in the group continues to be ANZ Bank. This is due to its above-average dividend yield, strong balance sheet, potential share buybacks, and its overweight exposure to business banking. And with the housing market tipped to rebound in the near future, I believe the bank could soon experience an uptick in mortgage loan growth. At present the bank's shares offer a trailing fully franked 6% dividend yield.
National Storage REIT (ASX: NSR)
Another dividend share to consider buying is National Storage. It is one of the largest self-storage providers in the ANZ market with a total of 164 centres. Through these centres the company provides tailored storage solutions to over 60,000 residential and commercial customers. The company has been on an acquisition spree this year after raising $190 million through an equity raising. I expect these acquisitions and its existing portfolio to underpin solid income and distribution growth over the coming years. At present its shares offer a forward yield of around 6.1%.
Scentre Group (ASX: SCG)
A third and final option for income investors is Scentre Group. I believe the owner of the Westfield properties in the ANZ region is well-placed to deliver solid FFO and distribution growth over the next few years thanks to the quality of its portfolio. Its centres are currently generating $24.1 billion of annual retail in-store sales across the region, which means that 7.5% of all retail sales occur through the Westfield platform. Thanks to these impressive statistics, demand for its leases continues to be strong, leading to the company reporting an occupancy rate of 99.3%. I believe this has positioned it well to deliver on its plan to pay a 22.6 cents per security distribution this year, which currently equates to a 5.7% yield.
