Singapore REITs to Buy in August 2025

Are you wondering what are the best Singapore REITs to buy in August 2025? What is the best performing REITs Singapore? Investing in Singapore REITs is a good source of building your passive income. Investing in Singapore REITs had helped me reach my financial goals. Last year, I collected a total of S$19K in passive income. I consistently reinvested the dividends I collected back to the stock market. Through the power of compounding, I hit the financial goal that I set for myself 5 years ago. REIT investing is an excellent and easy way to build our passive income because REITs payout dividends either quarterly or half yearly.

To build a resilient Singapore REIT stock portfolio, you need to be able to identify high quality REITs are those that constantly pay you dividends and are able to grow their Distribution Per Unit (DPU) year-on-year. There are more than a hundred companies in the stock market. How do you get started? The first step to do is to do a stock screening to identify a list of Singapore REITs to look at.

Do you know what is Distribution Per Unit (DPU), Rental Reversions, Weighted Average Lease Expiry (WALE), Aggregate Leverage (Gearing Ratio), Weighted Average Debt Maturity and Dividend Yield? There are also 6 important terms to know in REIT investing. It is important to know the above terms. Usually, you will come across these terms in the financial results or annual reports.

Last week, the Fed announced that they shall not be cutting interest rates and shall be keeping the interest rates between 4.25% and 4.5%. The announcement came despite the unprecedented public needling from President Donald Trump to lower interest rates. Such news posed an opportunity to buy Singapore REITs in your watchlist as the share prices tumbled slightly in reaction to the news. Investors are speculating the next potential rate cut will be in October which gives investors at least 2 months to buy the REIT you have been watching before the prices goes up.

How to Find Singapore REITs to Buy?

In REIT investing, I use a common technique called stock screening. Singapore Stock screening is the process of filtering a large number of stocks based on specific criteria to identify potential investment opportunities. There are many stock screening tools out there. As such, it is not difficult to obtain a shorter list of good REITs and their current dividend yield for further analyse and decision making. Stock Screening tools allow you to screen REITs based on specific factors like P/E ratio, dividend yield, and other financial metrics.

For me, I use Stocks Café Stock Screener to screen for a list of REITs that meet my predefined criteria so that I have a shorter list of REITs to analyse. Below are the criteria that I used to screen for dividend stocks. You can adjust them to fit your risk appetite.

• Market Capitalization >= 1B
• Current Yield (%) >= 5 and <= 10
• Price / Book <= 3

Market capitalization

Market capitalization, often referred to as “market cap”, is a critical metric in evaluating stocks. It represents the total market value of a company’s outstanding shares of stock. You calculate it by multiplying the company’s current share price by the total number of its outstanding shares.

Market cap helps categorize companies into large-cap stocks, mid-cap stocks and small-cap stocks. Large-cap stocks are usually established companies with a long history of stable performance (e.g., global giants like Apple or Microsoft). These are considered less risky investments.

Mid-cap stocks are companies that are in the growth phase and offer higher growth potential but may carry more risk than large-cap stocks.

Small-cap stocks are smaller companies, often newer and less stable, which have the potential for significant growth but come with higher risk.

Investors use market cap to assess a company’s size and stability, compare it with its peers, and diversify their portfolios across different cap categories depending on their risk tolerance and investment goals. While market cap is important, it’s not the only factor to consider; fundamentals like revenue, profitability, industry trends, and future growth prospects are also crucial.

Current Dividend Yield

Dividend yield is a financial ratio that shows how much a company pays out in dividends each year relative to its stock price. It is calculated as: Dividend Yield (%) = (Annual Dividends Per Share / Current Stock Price) × 100

Price / Book (PB Ratio)

The price-to-book (P/B) ratio is a valuation metric used to assess whether a stock is undervalued or overvalued relative to its book value. It’s calculated as: P/B Ratio = Market Price Per Share / Book Value Per Share