3 Affordable Passive-Income Stocks That Pay Monthly

Here are three of the best and most affordable passive-income stocks to provide you monthly income.

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Are you looking for cash every month but don’t want to break the bank with your investment? Luckily, there are many strong dividend-paying, passive-income stocks out there — ones that will even provide you with a monthly income to boot! So, let’s get into three of the best and most affordable passive-income stocks to provide you with that monthly income.

NorthWest REIT

A strong and rebounding option among passive-income stocks is NorthWest Healthcare Properties REIT (TSX:NWH.UN). NWH.UN is a healthcare real estate investment trust (REIT) that specializes in owning and operating healthcare facilities globally, including Canada, Europe, Australasia, and Brazil.

The company holds a diversified portfolio of 149 income-producing properties with over 10 million square feet of leasable space. Their focus on healthcare real estate caters to a growing and stable industry with long-term tenant leases, providing predictable income.

Furthermore, the company provides a strong monthly dividend yield of 7.13% as of writing. That translates to $0.36 per share on an annual basis. And with shares trading at just $5 as of writing, that means you can lock up some significant passive income, even with just a small stake.

Slate Grocery REIT

Another solid REIT to consider is Slate Grocery REIT (TSX:SGR.UN). Slate Grocery REIT focuses on owning and operating grocery-anchored real estate in the United States. This means its properties are shopping centres with a major grocery store as the main tenant, ideally leading to stable occupancy and rent payments.

Just as with NorthWest, Slate Grocery REIT is a REIT, meaning a large portion of its profits are distributed to investors as dividends. The company has had a rough year, but it looks as though it is finally starting to rebound, making it a great time to buy the dip.

Meanwhile, shares trade at just $11 per share as of writing and at 12.98 times earnings — all while bringing in a significant 10.85% dividend yield, which translates to $1.18 per share annually.

Northland Power

Finally, if you want in on a rising stock, I would consider Northland Power (TSX:NPI) as top of mind. The renewable energy company saw its performance improve significantly during the last quarter. Shares surged in a short period of time, and this could only be the beginning.

Meanwhile, Northland Power stock offers a number of reasons to get in on the action today. Of course, there’s the monthly dividend, currently at 5.06%. This translates to $1.20 per share annually. And while shares have climbed upwards in recent months, these are still down 19% in the last year. So, you’re still getting in on a deal.

With NPI stock continuing to climb and trading in the recovering and growing sector of renewable energy, it looks like a healthy purchase on the market today. But, as always, make sure these passive-income stocks align with your overall risk tolerance as well as long-term portfolio goals.

This article represents the opinion of the writer, who may disagree with the “official” recommendation position of a Motley Fool premium service or advisor. We’re Motley! Questioning an investing thesis — even one of our own — helps us all think critically about investing and make decisions that help us become smarter, happier, and richer, so we sometimes publish articles that may not be in line with recommendations, rankings or other content.

Fool contributor Amy Legate-Wolfe has positions in NorthWest Healthcare Properties Real Estate Investment Trust. The Motley Fool recommends NorthWest Healthcare Properties Real Estate Investment Trust and Slate Grocery REIT. The Motley Fool has a disclosure policy.

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