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Capital Required ๐Ÿšจ High Risk

Target: $1,000 / Month

Ticker: ABR โ€ข Yield: 12.5% โ€ข Growth (5yr): 5.0%

Sector
Mortgage REIT
Estimated Capital Needed (Today)
$96,000
to generate $1,000 monthly immediately

๐Ÿ’ฐ Net: approx. $846 /mo after tax.

โณ The Waiting Game: Save Money by Holding

Currently, you need $96,000. But if ABR grows its dividend by 5.0% annually, you can invest less today and hit your goal later.

Wait 1 Y Save $4,571
$91,429
Wait 3 Y Save $13,072
$82,928
Wait 5 Y Save $20,781
$75,219
Wait 10 Y Save $37,064
$58,936

*Assumes constant dividend reinvestment is NOT included, only dividend growth.

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โ˜ƒ๏ธ The Snowball Effect (10-Year DRIP)

Reinvesting all dividends with constant yield:

YearTotal ValueMonthly Income
Year 1$108,000+$1,125/mo
Year 3$136,688+$1,424/mo
Year 5$172,995+$1,802/mo
Year 10$311,743+$3,247/mo

Real Life Impact

๐Ÿ  Rent is FREE! Living cost-free is a superpower.

Analysis Breakdown

Introduction

Wondering how much capital you need for $1000.00/month? Based on the yield of Arbor Realty Trust (ABR), your target portfolio size is around $96,000.00. Note that this math relies on a 12.50% yield.

About ABR

Arbor Realty Trust (ABR) is a key player in the Mortgage REIT sector. Note that the market prices this with a risk premium.

Investment Context

Why ABR? Because at $96,000.00 capital, yield stability becomes your best friend.

Disclaimer: Informational only. Not financial advice. Yields vary. Past performance does not guarantee future results.

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