The FTSE 250 is a treasure trove for revenue traders. It boasts a considerably greater variety of high-yielding dividend shares in comparison with its bigger sibling. Working example: 14 of its listings have a yield above 8%, versus solely 4 on the FTSE 100.

However whereas excessive dividend yields may be tempting, I choose to deal with these with sustainable payouts which have progress potential.

These are my high three picks.

Main Well being Properties

Main Well being Properties (LSE: PHP) might be probably the most dependable dividend-paying inventory in my portfolio. As an actual property funding belief (REIT) it’s required to pay 90% of its income again to traders as dividends.

Please word that tax therapy relies on the person circumstances of every shopper and could also be topic to vary in future. The content material on this article is offered for data functions solely. It’s not meant to be, neither does it represent, any type of tax recommendation.

For the previous 20 years, dividends have elevated in all however two years. Presently, its yield is 7% and it paid out 6.7p per share final yr. This yr it’s anticipated to extend to six.9p.

Nevertheless, excessive inflation and a struggling housing market haven’t been form to the REIT. Current outcomes revealed a pointy drop in earnings, leaving the belief unprofitable. The share price has slid 30% over the previous 5 years. 

With earnings per share (EPS) forecast to get better this yr, issues could enhance. However the loss does threaten dividends, which is one thing I’m conserving a detailed eye on.

Might the brand new Labour authorities assist flip its fortunes round? I hope so — within the meantime, I’ll maintain having fun with these dividend funds.

ITV

ITV (LSE:ITV) additionally boasts a good yield, at 6.3%, however has been much less dependable than Main Well being. 

The corporate has struggled over the previous 5 years, with the share price down 30%. Subsequently, dividends have been minimize or decreased 10 instances up to now 20 years.

Altering shopper habits and a extremely aggressive streaming {industry} have examined it. However with the agency being behind among the hottest TV exhibits within the UK, its Studios arm has revived its fortunes not too long ago. With a rising viewers, the shares have grown 26.5% this yr.

Now buying and selling at 70% under honest worth with a price-to-earnings (P/E) ratio of seven.2, its prospects appear good. Sadly, industry-specific dangers threaten its probabilities. With restricted progress forecast within the broadcasting {industry}, analysts anticipate a 28% decline in ITV’s earnings over the approaching yr.

Can a brand new season of Love Island reignite its fortunes? I can’t say for positive. However for now, the dividends are delivering me first rate returns.

TPICAP

TPICAP (LSE: TCAP) is a London-based agency providing international monetary middleman companies.

It has the bottom yield on my listing at 6.1% and funds have been steady however up and down. The pandemic pressured a 50% minimize but it surely’s recovered most of that since. Nevertheless, a excessive degree of debt mixed with declining money flows threaten future funds.

Luckily, the shakey dividend outlook is made up for in price progress. The share price is up 52% up to now 12 months. Following a tricky couple of years post-Covid, it bottomed out at £1.05 and has since recovered 130% to £2.40. 

With earnings anticipated to extend 67% within the coming yr, its ahead P/E ratio is 10.7 — under the UK Capital Markets {industry} common of 13. In its H1 outcomes launched earlier this month, web revenue jumped 38% and EPS rose from 8.4p to 12p.

If it will possibly preserve that sturdy efficiency, then it ought to be capable to pay greater dividends.