REIT Calculator
Project REIT dividend income and total return with DRIP reinvestment and dividend growth.
By Konstantin Iakovlev · Updated April 2026 · Source: SEC
Annual Dividend (Year 1)
$1,000.00
Monthly Income (Year 1)
$83.33
Projected Income (Year 10)
$1,838.46
Investment Summary
| Shares Purchased | 500.00 |
| Year 1 Annual Dividend | $1,000.00 |
| Year 1 Monthly Income | $83.33 |
| Yield on Cost (Year 10) | 7.64% |
DRIP vs No DRIP Comparison
| Without DRIP - Portfolio Value | $33,597.91 |
| Without DRIP - Total Return | $20,061.79 |
| With DRIP - Portfolio Value | $49,178.78 |
| With DRIP - Total Return | $24,178.78 |
| With DRIP - Total Shares | 731.87 |
DRIP Growth Over Time
| Year 1 | $1,000.00/yr | $26,750.00 total |
| Year 2 | $1,070.00/yr | $28,622.50 total |
| Year 4 | $1,225.04/yr | $32,769.90 total |
| Year 6 | $1,402.55/yr | $37,518.26 total |
| Year 8 | $1,605.78/yr | $42,954.65 total |
| Year 10 | $1,838.46/yr | $49,178.78 total |
REIT Notes
| Distribution Requirement | REITs must distribute 90%+ of taxable income |
| Tax Treatment | Dividends typically taxed as ordinary income |
| Tip | Hold REITs in tax-advantaged accounts when possible |
Use the REIT Calculator above to calculate your results. Enter your values and see instant results — all calculations run in your browser.
Disclaimer: This calculator is for informational purposes only and does not constitute tax, financial, or legal advice. Results are estimates based on the information you provide and current rates. Always consult a qualified tax professional or financial advisor for advice specific to your situation.
How It Works
Real estate investment trusts reward patient, income-minded investors, and seeing how a position might compound over time helps you judge whether your allocation is pulling its weight toward goals on the horizon, such as a target of 2026. The projection here layers in dividend reinvestment (DRIP) and rising future payouts so you can read both the income stream and the total return your holdings could generate.
A compounding model drives the numbers. Your initial investment buys a share count at the current price, and each year the annual dividend per share pays out. With DRIP turned on, those distributions buy more shares at the projected year-end price, which reflects the share price growth rate you assume. The dividend growth rate then lifts the per-share payout in following years, so the income figures build on themselves rather than staying flat.
Bear in mind that what a REIT did before tells you nothing certain about what it will do next, and both dividend growth and price appreciation here are assumptions, not promises. Aggressive growth inputs produce flattering but unreliable forecasts, so conservative figures give you a steadier read. Factor in the taxes owed on dividends as well, since they trim the amount actually available to reinvest.
Example: Investing in a REIT for Long-Term Growth
- 1 You invest $10,000 in a REIT today. The current share price is $50, the annual dividend per share is $2.00, and you anticipate a 3% annual dividend growth rate. You also expect a 5% annual share price growth and plan to reinvest all dividends (DRIP).
- 2 Initial shares purchased: $10,000 / $50 = 200 shares. By the end of 2026, assuming DRIP and growth, the calculator will project your total shares, total dividend income for that year, and the portfolio's market value.
- 3 By the end of 2026, your portfolio could be worth approximately $13,000, having generated around $650 in annual dividends that year, with your share count increasing to roughly 245 shares due to reinvestment.
- 4 This example demonstrates how consistent dividend reinvestment and modest growth can significantly boost your REIT portfolio over several years. The power of compounding, driven by both dividend and share price appreciation, becomes evident. You can then adjust your investment strategy based on these projections.
Source: SEC · Last updated: April 2026
Frequently Asked Questions
How much do REITs pay in dividends?
Are REIT dividends taxed differently?
Should I hold REITs in a tax-advantaged account?
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