How a Dividend Investor Navigated the 'Bloody' Selloff to Earn $18,000 Monthly—and the 6 Stocks Fueling His Strategy

The market’s recent “bloody” selloff—a period marked by volatility, rate hikes, and sector-specific headwinds—has tested even the most seasoned investors. Yet one contrarian strategy has quietly thrived: a high-yield dividend portfolio built to withstand turbulence. By targeting six resilient stocks, an investor has structured a portfolio generating $18,000 in monthly dividends, even as broader markets stumbled. Here’s how it works—and why this playbook could outperform in 2025.

The Blueprint: How to Hit $18,000/Month in Dividends

The investor’s secret? A mathematically precise approach to yield, risk, and diversification. Using data from Dividend.com and The Motley Fool, the strategy hinges on six high-yielding monthly dividend stocks, each chosen for their ability to sustain payouts even during downturns. The math is straightforward:

To achieve $18,000/month, the investor calculates the required investment as follows:
- Average annual yield of the six stocks: 6.3% (or ~0.525% monthly).
- Total capital needed:
[ \frac{\$18,000}{0.00525} \approx \$3.4 \text{ million}. ]
This sum is then spread across the six picks, allocating roughly $570,000 per stock to balance risk and return.

The Top 6 Picks—and Why They’re Winning

1. Gladstone Commercial (NASDAQ: GOOD) – 8.6% Yield

A REIT specializing in industrial and office properties, GOOD offers the highest yield on the list. While its dividend was cut in 2023 due to weak office demand, the company has since pivoted aggressively toward industrial real estate, now making up 60% of its portfolio.

Why it’s a buy: Industrial demand is surging as e-commerce and manufacturing grow. GOOD’s focus on long-term leases (average 10+ years) shields it from short-term market swings.

Risk: Office vacancies remain a concern, but its pivot and current yield make it a high-reward, high-risk bet.

2. EPR Properties (NYSE: EPR) – 8.2% Yield

This REIT owns experiential properties—movie theaters, ski resorts, and arenas—via triple-net leases, where tenants cover most costs. Post-pandemic recovery has been uneven, but EPR is shedding underperforming theaters and focusing on high-margin markets.

Why it’s a buy: Its payout ratio hovers near 100%, signaling sustainability, and its diversified portfolio reduces reliance on any single sector.

Risk: Movie theater revenue still lags pre-pandemic levels, though its shift to premium locations (e.g., AMC’s luxury theaters) offers a buffer.

3. LTC Properties (NYSE: LTC) – 6.7% Yield

A healthcare REIT with exposure to senior housing and skilled nursing facilities, LTC benefits from the U.S. population’s aging boom. While pandemic-era operational challenges linger, its long-term leases and in-demand services make it a stable, if slower-growing, income source.

Why it’s a buy: LTC’s conservative balance sheet and 30-year track record of dividends make it a “safer” anchor for the portfolio.

4. Realty Income (NYSE: O) – 5.9% Yield

The “Monthly Dividend Company” has paid dividends for 647 consecutive months—a record unmatched in the sector. Its portfolio of 6,500+ single-tenant properties (retail, industrial, self-storage) is leased to creditworthy tenants like Walmart and FedEx.

Why it’s a buy: O’s fortress balance sheet and focus on recession-resistant sectors make it a core holding for income stability.

5. Agree Realty (NYSE: ADC) – 4.9% Yield

A REIT owning freestanding retail spaces (e.g., pharmacies, grocery stores), ADC thrives in an era of e-commerce skepticism. Its tenants, such as Walgreens and 7-Eleven, are recession-resistant, while ADC’s acquisitions ($1.4 billion in 2021 alone) fuel growth.

Why it’s a buy: ADC’s long leases (8+ years) and focus on essential retailers hedge against retail sector headwinds.

6. SL Green (NYSE: SLG) – 5.3% Yield

As Manhattan’s largest office landlord, SLG faced existential threats post-pandemic. Yet it’s stabilized by debt reduction, share buybacks, and a rebound in New York office demand.

Why it’s a buy: While office demand remains uncertain, SLG’s premium locations and 34% stock surge in 2023 signal investor optimism.

The Risks—and How to Mitigate Them

The portfolio isn’t without flaws. Five of the six stocks are REITs, exposing investors to real estate-specific risks like interest rate sensitivity and sector downturns. Additionally:
- Dividend sustainability: Stocks like GOOD and EPR operate with payout ratios near 100%, leaving little room for error.
- Sector concentration: Overweighting in industrials and healthcare could backfire if macroeconomic conditions sour.

Mitigation strategy:
- Diversification: Spread capital evenly across the six picks to avoid overexposure to any single stock or sector.
- Monitor payout ratios: If yields drop below 6%, or payout ratios exceed 100%, consider trimming positions.
- Liquidity: Stick to REITs with market caps above $1 billion (all six qualify) to avoid illiquidity risks.

Conclusion: A High-Yield Play for 2025—and Beyond

This $3.4 million portfolio isn’t for the faint of heart. It demands a tolerance for volatility and a long-term horizon to ride out sector-specific dips. Yet the math is compelling: at a 6.3% average yield, even a 10% drop in stock prices would still leave the portfolio generating $16,000/month—a cushion many income investors would envy.

The investor’s success hinges on two pillars:
1. Yield discipline: Prioritizing companies with payout ratios below 100% and sustainable business models.
2. Sector resilience: REITs dominate the list, but their exposure to industrial growth (GOOD), healthcare (LTC), and essential retail (ADC) creates a mosaic of demand drivers.

As we head into 2025—a year where the Fed’s rate cuts could finally kick in—the portfolio’s high-yielding, low-cost real estate focus could shine. For those willing to endure the market’s “bloody” moments, this strategy isn’t just about dividends—it’s about building wealth with the market’s storms in mind.