10 Best Performing Real Estate Stocks to Buy According to Analysts

3. BRT Apartments Corp. (NYSE:BRT)

Average Upside Potential: 26.93%

Gain Over Past 1 Year: 15.86%

Number of Hedge Fund Holders: 2

BRT Apartments Corp. (NYSE:BRT) is an internally managed real estate investment trust that focuses on the ownership, operation, and development of multi-family properties primarily in Sun Belt locations. The multifamily equity REIT has a diverse portfolio of 28 properties in 11 states.

The REIT’s high-quality portfolio has generated above-average AFFO growth compared to multi-family non-gateway companies. BRT seeks to invest in properties and acquisitions that are well-positioned in areas demonstrating positive indications of growth with catalysts promoting employment and housing demand. A focus on Sunbelt locations offers compelling advantages to BRT due to the predominance of pro-business states, alongside better population and job growth from migration patterns and business investment.

At the same time, the operational environment in the firm’s combined portfolio is expected to be consistent with other Sunbelt-focused operators with new supply muting new and renewal lease rent growth. On the bright side, the new supply growth in Sunbelt markets is expected to moderate in 2025 and 2026.