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Why I would buy these high yield ASX dividend shares

With rates at rock bottom levels and potentially going even lower in 2020, I continue to believe that the share market is a great place to generate an income.

Three dividend shares that I think would be great options for income seekers right now are listed below. Here’s why I like them:

Aventus Group (ASX: AVN)

One high yield dividend share to consider is Aventus. It is a leading owner and operator of large format retail parks across Australia. Despite weak trading conditions in the retail industry, Aventus has continued to enjoy a sky-high occupancy rate. In light of this, I believe it is well-placed to deliver solid FFO growth again in FY 2020. Based on this and its payout ratio, I estimate that its shares offer a forward 6.2% distribution yield.

BHP Group Ltd (ASX: BHP)

Another high yield dividend share for income investors to consider buying is BHP. I think it is the best option in the mining sector due to the quality, diversity, and low costs of its operations. Furthermore, these operations are generating high levels of free cash flow. I expect the vast majority of it to be returned to shareholders through dividends and buybacks. In light of this, I estimate that its shares currently provide a fully franked forward 6% dividend yield.

Super Retail Group Ltd (ASX: SUL)

A final option for income investors to consider is Super Retail. It is the retail conglomerate behind brands such as Super Cheap Auto, Macpac, and Rebel. Despite tough trading conditions, it was a strong performer in FY 2019. The good news is that it appears well-placed to continue this positive form this year thanks to tax cuts and the housing market rebound. I estimate that its shares offer a forward fully franked 5.6% dividend.

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Motley Fool contributor James Mickleboro has no position in any of the stocks mentioned. The Motley Fool Australia owns shares of Super Retail Group Limited. The Motley Fool Australia has recommended AVENTUS RE UNIT. 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 Scott Phillips.