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Realty Income Corporation (NYSE:O), affectionately known as “The Monthly Dividend Company,” has been a favorite among income-seeking investors. With an impressive track record of 647 consecutive monthly dividend payments and 26 consecutive years of dividend increases, Realty Income has solidified its position as a reliable source of consistent income. As a member of the esteemed Dividend Aristocrats, the company has demonstrated its commitment to rewarding shareholders with a steadily growing income stream.

Earlier this week, Realty Income announced another dividend increase, raising its monthly dividend from $0.2625 per share to $0.2630 per share. This latest boost in dividends has made some investors wonder: just how many shares of Realty Income would they need to own to generate a substantial monthly income?

Earning $500 Per Month From Realty Income

Let’s crunch the numbers. To earn a handsome $500 per month in dividends from Realty Income, an investor would need to own approximately 1,902 shares. At the current monthly dividend rate of $0.263 per share, 1,902 shares would provide a monthly income of $500.22. However, building a position of this size requires a significant upfront investment. With Realty Income’s stock currently trading at $53.12 per share, an investor would need to invest a total of $101,034.24 to acquire the necessary 1,902 shares.

For those with more modest income goals, earning $100 per month in dividends from Realty Income is a more attainable target. To generate $100 in monthly dividend income, an investor would need to own 381 shares. At the current share price, this would require an investment of $20,238.72.

An Alternative Monthly Income Option

While Realty Income’s consistent dividend growth and monthly payout schedule are undoubtedly attractive, there is an alternative option for investors seeking higher yields and monthly income from real estate: the Arrived Private Credit Fund.

The Arrived Private Credit Fund offers investors the opportunity to earn passive income by investing in a diversified pool of real estate-backed loans. With a target yield of 7-9%, the fund aims to provide investors with a higher level of income compared to many traditional dividend stocks. The fund’s strategy focuses on providing short-term financing for professional real estate projects, such as property renovations, rehabs, or new home construction. By investing in a diversified portfolio of loans, the fund mitigates risk while generating attractive returns.

One key advantage of the Arrived Private Credit Fund is its low minimum investment requirement of just $100. This makes it accessible to a broader range of investors who may not have the capital to access other private credit funds. Moreover, the fund’s monthly dividend distributions and quarterly liquidity options provide investors with a steady income stream and the flexibility to access their capital if needed.

Click here to learn more about the Arrived Private Credit Fund. 

While Realty Income remains a stalwart in the world of monthly dividend stocks, investors seeking higher yields and greater accessibility may find the Arrived Private Credit Fund to be a compelling alternative. By investing in a diversified portfolio of real estate-backed loans, investors can potentially earn higher returns while still enjoying the benefits of monthly income and exposure to the real estate sector. As always, investors should conduct their own due diligence and consider their individual investment goals and risk tolerance before making any investment decisions.

This article Here's How Many Shares Of Realty Income You Need To Earn $500 Per Month In Dividends After The Latest Dividend Increase originally appeared on Benzinga.com

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