Building Your Dividend Dream House

What does your dream house look like?

Is it a traditional mansion, an ultra-modern house, or maybe a quirky renovated space? You might have already built your dream house, or you might plan on building it one day.

You provide the guiding vision for your dream house, but you also need an architect to create a realistic blueprint for your house.

In creating your dividend growth portfolio, you are the architect. You know where you want to live someday – what your ultimate financial goals are.You have a picture in your mind of what the ‘finished house’ will be – what financial freedom looks like.

The goal of your dividend growth portfolio is to make that dream a reality.

Dividend Dream House

Start With a Strong Foundation

Your investing philosophy is the foundation of your dividend house. The guiding ideas of Sure Dividend are:

Treat investing in the stock market like investing in a real business (because that’s what it is)

Invest in businesses with strong competitive advantages

Invest in shareholder friendly businesses

Only buy into a business when it’s trading at fair or better prices

Minimize frictional costs through investing for the long-run

I believe these ideas make a strong foundation upon which you can build your dividend house.

The 8 Rules of Dividend Investing quantify the investing philosophy of Sure Dividend. They create a quantitative system from the guiding ideas above.

Pick Only Quality Materials

Very few people dream of using subpar building materials for their dream house. You don’t want to save a little bit in the short-term only to cost yourself a fortune in repair costs years down the line.

It’s the same with your dividend portfolio. You can absolutely chase higher yields by investing in subpar businesses that have higher dividends.You will probably generate more dividend income in the first few years, but your total returns will suffer in the long run.