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: MPW

 Last week I added to an existing holding. On February 16th 6 I purchased another 100 shares of MPW for about $ 13 per share. This new purchase adds almost $ 116 to my annual forward dividend income. I first bought shares in MPW about 6 months ago for $14 per share.

They had some (serious) operator troubles but seem to be handling it. Last week MPW announced that it has agreed to lease its entire Utah hospital portfolio to Catholic Health Initiatives Colorado, a wholly owned subsidiary of CommonSpirit Health (“CommonSpirit”), subsequent to CHIC’s pending acquisition of the Utah hospital business currently operated by Steward Health Care System (“Steward”). Centura Health (“Centura”) will manage the facilities for CHIC. The expected transaction will further MPT’s long-term efforts to improve portfolio diversification by property type, geography and, in this case, operator.

We'll see how this all works out, but I am doubling down on this high-yielder. A lot of people also suggested OHI needed to cut its high dividend, but it's been paying it for years now!

Recent buys: ASML, TXN, MPW, AFL & INTC

Recently I opened three new positions and added to two existing holdings. New positions are:

• On August 5 I purchased 3 shares of ASML for about € 474 per share. This purchase adds almost € 16 to my annual forward dividend income. 
• On August 6 I purchased 10 shares of TXN for about $ 163 per share. This new purchase adds almost $ 50 to my annual forward dividend income. 
• On August 6 I purchased 100 shares of MPW for about $ 14 per share. This new purchase adds almost $ 116 to my annual forward dividend income.

Additions to current holdings are:

• On August 5 I purchased 20 shares of AFL for about $ 60 per share. This new purchase adds almost $ 32 to my annual forward dividend income.
• On August 20 I purchased 60 shares of INTC for about $ 29 per share. This new purchase adds almost $ 88 to my annual forward dividend income.

I used about € 7.400,- in cash for these purchases. My dividend income increased by about € 300,- which equates to a dividend yield of roughly 4,1%.

My current forward annual dividend income is about € 11.000