Top 2 Real Estate Stocks That May Fall Off A Cliff In Q4

As of Oct. 16, 2024, two stocks in the real estate sector could be flashing a real warning to investors who value momentum as a key criteria in their trading decisions.

The RSI is a momentum indicator, which compares a stock’s strength on days when prices go up to its strength on days when prices go down. When compared to a stock’s price action, it can give traders a better sense of how a stock may perform in the short term. An asset is typically considered overbought when the RSI is above 70, according to Benzinga Pro.

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Here's the latest list of major overbought players in this sector.

Kilroy Realty Corp KRC

• Kilroy Realty will release third quarter 2024 financial results after the closing bell on Monday, Oct. 28. The company's stock gained around 11% over the past five days and has a 52-week high of $43.37.
• RSI Value: 72.10                              
• KRC Price Action: Shares of Kilroy Realty gained 3.2% to trade at $41.40 on Wednesday.

Trending: Investing in private credit can outperform publicly-traded REITs, and you only need $100 to get started.

Douglas Emmett Inc DEI

• Douglas Emmett said it will release its 2024 third quarter earnings results after the closing bell on Monday, Nov. 4. The company's stock gained around 11% over the past month and has a 52-week high of $18.78.
• RSI Value: 73.78
• DEI Price Action: Shares of Douglas Emmett rose 2.3% to trade at $18.78 on Wednesday.

Better Yields Than Some REITs?

Your best real estate opportunity may not be in the public markets. The current interest rate environment has created an incredible opportunity for income-seeking investors to earn massive yields, but not through publicly-traded REITs.

Arrived Homes, the Jeff Bezos-backed investment platform, has launched its Private Credit Fund, which provides access to a pool of short-term loans backed by residential real estate with a target 7% to 9% net annual yield paid to investors monthly. It paid 8.1% in August. The best part? Unlike other private credit funds, this one has a minimum investment of only $100. 

Looking for fractional real estate investment opportunities? The Benzinga Real Estate Screener features the latest offerings.

Wondering if your investments can get you to a $5,000,000 nest egg? Speak to a financial advisor today. SmartAsset’s free tool matches you up with up to three vetted financial advisors who serve your area, and you can interview your advisor matches at no cost to decide which one is right for you.