It looks increasingly likely that the Reserve Bank will cut the cash rate again at the central bank's meeting tomorrow.
In light of this, what better time to look at alternatives to term deposits and savings accounts which are probably going to suffer from further reductions in interest rates in the near term.
Three dividend shares which I think income investors ought to consider buying are listed below:
National Storage REIT (ASX: NSR)
One top option for income investors to consider is National Storage. It is a self-storage-focused real estate investment trust which owns a network of 168 centres throughout the ANZ region. Thanks to its development projects and its growth through acquisition strategy, it plans to continue growing its network for the foreseeable future. I expect this to lead to further solid income and distribution growth for a number of years to come. At present its shares provide a 5.35% trailing distribution yield.
Scentre Group (ASX: SCG)
Another option for income investors to consider right now is Scentre Group. The owner of Westfield properties in the ANZ region appears well-placed for growth thanks to the strong demand for its tenancies from major retailers and the increasing number of consumers that visit its centres. At the last count there were 535 million visitors passing through its doors each year and each visitor was spending longer at its centres. At present its units offer a trailing 5.7% distribution yield.
Transurban Group (ASX: TCL)
A final option for income investors to consider this week is Transurban. I continue to believe the toll road giant is one of the best dividend shares on the local market. This is because of the quality of its assets, their strong pricing power, increasing traffic, and recent acquisitions. Overall, I believe it is well-placed to grow its distribution at a solid rate over the next decade. In FY 2020 the company plans to increase its distribution by 5.1% to 62 cents per security, which equates to a forward 4.2% forward yield.
