Selling to Build: Freeing Up Capital for a Home

Over the past weeks, I have been unwinding several equity positions. Not as a reaction to markets, but as part of a deliberate shift in priorities: building cash for a future down payment on a house.

The positions sold:

• Kinder Morgan (KMI) – 48 shares
• Canadian National Railway (CNI) – 20 shares
• A. O. Smith (AOS) – 25 shares
• Medical Properties Trust (MPW/MPT) – 200 shares
• Medtronic (MDT) – 30 shares

This marks a temporary transition from long-term compounding to short-term certainty.

Looking Back at the Buys

Each of these investments was made with a clear thesis and documented at the time:

• https://dividenddream.blogspot.com/2024/10/recent-buy-canadian-national-railway-cni.html
• https://dividenddream.blogspot.com/2023/05/recent-buy-aos.html
• https://dividenddream.blogspot.com/2023/02/recent-buy-mpw.html
• https://dividenddream.blogspot.com/2022/09/recent-buys-asml-txn-mpw-afl-intc.html
• https://dividenddream.blogspot.com/2022/12/recent-buys-bep-txn-ad-and-mdt.html

Reality Check: Underwhelming Performance

Since purchase, results have been mixed at best:

• Limited price appreciation
• Some positions trading below cost
• Weak sentiment around MPT in particular
• Opportunity cost versus stronger performers

None of these positions were outright disasters. But collectively, they did not produce the expected combination of growth and income. Under normal circumstances, the answer might be patience. But portfolio decisions do not happen in isolation—they depend on real-world needs.

The Actual Driver: A Life Event

The decision to sell is not primarily market-driven. It is because I need liquidity for a future down payment on a house. Selling achieves three things:

1. Converts invested capital into usable cash
2. Eliminates downside risk before deployment
3. Creates flexibility and certainty

Final Thought

Investing is often framed purely in terms of returns. But ultimately, capital has a purpose beyond accumulation. This is one of those moments where capital shifts from: “working in the market” → “working in real life.” From building a portfolio… to building a home.

Recent buy: Canadian National Railway (CNI)

I recently added 20 shares of Canadian National Railway (CNI) to my dividend growth portfolio. CNI is one of North America's leading transportation companies, and I’ve been watching it for some time due to its solid fundamentals and consistent dividend growth history. I already own Union Pacific (UNP) and CNI is a nice addition since it operations in a different region.

CNI operates an extensive railway network, which is vital to the transport of goods across the U.S. and Canada. This gives it a defensive edge, even during economic downturns. What drew me to CNI, aside from its stable operations, is its impressive dividend growth track record. The company has been increasing its dividend for over two decades by roughly 10% per year, and with a current yield of around 2,2%, it provides a nice mix of income and future growth potential.

I also see long-term benefits as CNI continues to expand its operations and improve efficiency. Their commitment to innovation in logistics and sustainable operations positions them well for the future, especially with increasing demand for reliable transportation infrastructure.

For me, this investment is about more than just the dividend—it’s about owning a piece of a company that has a long history of delivering value to its shareholders. I’m excited to see how this addition performs over time and how it contributes to the overall growth of my portfolio’s dividend income.

This purchase will add about $60 to my annual forward dividend income.