Thankfully in this low interest rate environment, there are plenty of high quality dividend options on the Australian share market to solve your income needs.
Three top dividend shares that I think are in the buy zone right now are listed below. Here's why I like them:
Rural Funds Group (ASX: RFF)
Rural Funds is an agriculture-focused property group which I believe is a great option for income investors in search of a stable income stream. I'm a big fan of Rural Funds due to its high quality assets and long term leases. In respect to the latter, at its last update the company had a weighted average lease expiry of over 11 years. Combined with periodic rent increases, I believe Rural Funds is well-placed to grow its distribution at a decent rate over the next decade. Next year Rural Funds is expected to pay a 10.8 cents per share distribution, which equates to a forward 4.5% distribution yield.
Scentre Group (ASX: SCG)
Scentre Group is the owner and operator of Westfield buildings in Australia and New Zealand. Amongst its high quality network of retail properties are 7 of the top 10 centres in Australia and 4 of the top 5 centres in New Zealand. At its last update the company revealed that it had an occupancy rate of 99.3%. In light of this and its solid FFO growth, the company intends to increase its distribution to 22.6 cents per security this year. Based on its current share price, this equates to a 5.8% yield.
Super Retail Group Ltd (ASX: SUL)
Although the retail sector has been having a tough time of late, I'm optimistic that tax cuts and an improving housing market will give consumer sentiment and spending a major boost over the next 12 months. One company that could benefit greatly from this is Super Retail. It is the owner of automotive retailer Supercheap Auto, sports store Rebel, and adventure retailers BCF and Macpac. It has performed very well in FY 2019, but could be set to have an even stronger year if things do pick up in the sector. At present its shares offer a trailing fully franked 5.1% dividend yield.
