At present the Australian share market provides an average dividend yield of approximately 4.4%.
While this is certainly a generous yield in this low interest rate environment, if you look deep enough you'll find shares offering even juicier yields.
Three high yield dividend shares to consider buying this week are listed below:
Adairs Ltd (ASX: ADH)
Adairs' shares have fallen heavily in recent months due to concerns over the impact that falling house prices will have on the home furnishings retailer's business. While I do believe that the housing market downturn could have an impact on the company's future growth, I think the selloff has been severely overdone. Adairs' shares are currently changing hands at 9x earnings and offer a trailing fully franked 7.8% dividend. This could make it a bargain buy considering management recently confirmed that it is on course to achieve earnings before interest and tax growth of between 4.9% and 13.7% in FY 2019.
Australia and New Zealand Banking Group (ASX: ANZ)
This banking giant's shares are currently trading within sight of their 52-week low and offer a trailing fully franked 6.5% dividend. While trading conditions have not been easy for the banks this year and are unlikely to improve greatly in the near term, due to the lower than normal multiples that they trade on, I see a lot of value in the big four banks at current levels. This could make ANZ Bank worth considering if you don't already have meaningful exposure to the sector.
Super Retail Group Ltd (ASX: SUL)
This retail group has seen its share price come under pressure over the last couple of months due to the surprise exit of its long-serving and popular CEO. Whilst this departure is disappointing, I remain confident that Super Retail is well-positioned to continue its positive form even with a change in the top job. So with its shares changing hands at just 10x earnings and offering a very generous 6.8% dividend yield, I think this retail share could be a great option for income investors.
