Beginning of the End for Mortgage REITs?

But for a while, skeptics have believed that eventually, good times for mortgage REITs would come to an end. Now, news from four of the most popular mortgage REITs has some wondering whether that end will come sooner than later. The dreaded dividend cutOne fear that some, including my Foolish colleague Anand Chokkavelu, have expressed is that at some point, the extremely favorable conditions that have supported mortgage REIT profits will change. To understand the impact of such a trend change, let me take a break to give you some background on how these investments work.... Read more