TFSA Investors: 3 Stable REITs Set to Double in 2022

These three stable REITs offer high passive income while you wait over the next year for each to double their share price.

The TSX today is down 11.3% year to date at the time of writing this article. What’s even worse is that it’s down even further from 52-week highs. Looking there, it’s down about 15%. With the stock market down, inflation up, and interest rates rising, Motley Fool investors are in a position where they want to hoard cash or find a way to make a lot of it.

But you don’t have to find the next big growth stock to double your money, even in 2022! What you need instead is to find stable real estate investment trusts (REIT). These stable REITs could double in 2022 alone and will provide you with passive income on the TSX today.

CAPREIT

Canadian Apartment Properties REIT (TSX: CAR.UN) is one of the best stable REITs to consider right now. Housing continues to become less affordable, with no end in sight for when that might end. So, Canadians are now looking at apartments long term.

As one of the largest REITs on the TSX today, and the largest of its kind, CAPREIT is a strong option for those seeking long-term passive income. Furthermore, it has a price target right now of $65, with some analysts believing it could practically double in 2022 alone. So, right now, you can lock in this stable REIT with a 3.24% dividend yield and trading at 5.82 times earnings.

Dream Industrial

Industrial properties are a huge part of Canada’s future. These properties will be relied upon for e-commerce businesses large and small to thrive. This is why analysts peg them for creating huge returns for investors. And that includes Dream Industrial REIT (TSX: DIR.UN).

Dream holds properties across North America and now in Europe. It continues to grow through acquisitions and partnerships and is building multiple industrial properties in urban centres across Canada and the world. Yet again, it’s far below its target price of $18. And again, analysts believe it could practically double in 2022. Today, you can lock in a dividend yield of 5.8%, while it trades at 2.85 times earnings.

Summit Industrial

Yes, I’m giving you two industrial REITs. That’s because this area of the market is so stable. There is minimal upkeep for these strong investments, and Canada has a strong market for it. So, for a more Canadian-focused light industrial REIT, I would choose Summit Industrial REIT (TSX: SMU.UN).

Now, because it’s not as globally diversified, it may not double in 2022 alone. However, analysts still give it a price target of about $24 and a high target of $26. That would represent a potential upside of 53% as of writing. And that could very well change should the company make more acquisitions or plans to grow. Industrial properties are simply just a strong way to get into stable REITs.

And again, you can also lock in a dividend yield of 3.39% as of writing while it trades at just 2.36 times earnings.

Foolish takeaway

These three stable stocks could double any investment over the next year. Even better, you’ll receive high passive income through these stable REITs. Each provides you with a tried-and-true method of making returns no matter what the future of Canada holds.

Fool contributor Amy Legate-Wolfe has no position in any of the stocks mentioned. The Motley Fool recommends DREAM INDUSTRIAL REIT and SUMMIT INDUSTRIAL INCOME REIT.

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