4 dividend shares I'd buy with $4,000

I'd buy these 4 shares for good income.

| More on:
a woman

You’re reading a free article with opinions that may differ from The Motley Fool’s Premium Investing Services. Become a Motley Fool member today to get instant access to our top analyst recommendations, in-depth research, investing resources, and more. Learn More

There are many options out there that offer a decent dividend yield, but only some of them are worth a buy in my opinion.

Here are four good options with yields over 4.5%:

Arena REIT No 1 (ASX: ARF)

Arena has been one of the best performing real estate investment trusts (REITs) over the last few years, with it growing its earnings and distribution per unit by around 10% a year for the past four years.

It aims to invest in growing industries such as childcare centres and medical buildings. It has a 100% occupancy rate, which is great compared to most REITs around.

Arena is currently trading with a distribution yield of 5.46%.

National Storage REIT (ASX: NSR)

National Storage is the largest self-storage provider in Australia.

Storage is going through a boom because of the high cost of real estate, making it a more affordable option.

National Storage currently has a distribution yield of 6.2%.

WAM Research Limited (ASX: WAX)

WAM Research is one of the listed investment companies (LICs) run by Wilson Asset Management.

It's a high-performing LIC that invests in undervalued growth companies that should hopefully beat the market. This LIC just invests in quality companies, compared to the other WAM LICs that take market-driven opportunities into account.

WAM Research is currently trading with a grossed-up dividend yield of 7.96%.

Japara Healthcare Ltd (ASX: JHC)

Japara is one of the largest aged care providers in Australia. The ageing demographics of Australia point to a strong tailwind for Japara, however there has been an issue with funding that has caused the share price to fall.

The fall in share price now means that Japara has a grossed-up dividend yield of 8.93%.

Foolish takeaway

All four shares should be good options for income, but Japara could be the one to offer the most capital growth over the next two years, so that's what I'd pick at the current prices.

Motley Fool contributor Tristan Harrison owns shares of JAPARA DEF SET and WAM Research Limited. The Motley Fool Australia has no position in any of the stocks mentioned. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.

More on ⏸️ Investing

Close up of baby looking puzzled
Retail Shares

What has happened to the Baby Bunting (ASX:BBN) share price this year?

It's been a volatile year so far for the Aussie nursery retailer. We take a closer look

Read more »

woman holds sign saying 'we need change' at climate change protest
ETFs

3 ASX ETFs that invest in companies fighting climate change

If you want to shift some of your investments into more ethical companies, exchange-traded funds can offer a good option

Read more »

a jewellery store attendant stands at a cabinet displaying opulent necklaces and earrings featuring diamonds and precious stones.
⏸️ Investing

The Michael Hill (ASX: MHJ) share price poised for growth

Investors will be keeping an eye on the Michael Hill International Limited (ASX: MHJ) share price today. The keen interest…

Read more »

ASX shares buy unstoppable asx share price represented by man in superman cape pointing skyward
⏸️ Investing

The Atomos (ASX:AMS) share price is up 15% in a week

The Atomos (ASX: AMS) share price has surged 15% this week. Let's look at what's ahead as the company build…

Read more »

Two people in suits arm wrestle on a black and white chess board.
Retail Shares

How does the Temple & Webster (ASX:TPW) share price stack up against Nick Scali (ASX:NCK)?

How does the Temple & Webster (ASX: TPW) share price stack up against rival furniture retailer Nick Scali Limited (ASX:…

Read more »

A medical researcher works on a bichip, indicating share price movement in ASX tech companies
Healthcare Shares

The Aroa (ASX:ARX) share price has surged 60% since its IPO

The Aroa (ASX:ARX) share price has surged 60% since the Polynovo (ASX: PNV) competitor listed on the ASX in July.…

Read more »

asx investor daydreaming about US shares
⏸️ How to Invest

How to buy US shares from Australia right now

If you have been wondering how to buy US shares from Australia to gain exposure from the highly topical market,…

Read more »

⏸️ Investing

Why Fox (NASDAQ:FOX) might hurt News Corp (ASX:NWS) shareholders

News Corporation (ASX: NWS) might be facing some existential threats from its American cousins over the riots on 6 January

Read more »