At a glance
IYR charges 0.37% a year, above the 0.17% average of the 8 funds most like it (the 8th cheapest of 9). It has $4.67B in assets, the 3rd largest of that group; it paid 2.44% of its price in distributions over the past 12 months, quarterly. Over the past year it returned +1.9% with distributions reinvested (S&P 500: +11.5%), the weakest of those 9 funds; over three years it returned +12.7% a year. At its worst it fell 42.3% in the 2020 crash (S&P 500: 33.7%) and 31.3% in the 2022 bear market (S&P 500: 24.5%), and was back at its earlier high 13 months and 42 months after the lows. Its ten largest positions make up 51.2% of the fund, out of 61 in all.
The short version
The iShares U.S. Real Estate ETF (IYR), from BlackRock's iShares line, tracks the Dow Jones U.S. Real Estate Capped Index. As of June 30, 2026, it held stocks of 61 U.S. real estate companies, mostly REITs, led by Welltower and Prologis. It is one of the larger and older real estate ETFs. But its 0.37% expense ratio is more than double the 0.17% average of similar funds, and it trailed all eight over one and three years through October 27, 2026.
Price history
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IYR +1.9% over the year to Oct 27, 2026, total return with distributions reinvested.
How it has behaved
| YTD | 1 yr | 3 yr | 5 yr | 10 yr | Since start | |
|---|---|---|---|---|---|---|
| IYR official prospectus, to Dec 31, 2025 | — | +3.38% | — | +4.55% | +5.45% | — |
| S&P Total Market Index index, same period | — | +17.05% | — | +13.07% | +14.22% | — |
| Dow Jones U S Real Estate Capped Index index, same period | — | +3.76% | — | +4.94% | +5.83% | — |
| IYR price data to Oct 27, 2026 | +5.9% | +1.9% | +12.7% | +0.4% | +5.7% | +5.6% |
- Over the year to Oct 27, 2026, IYR returned +1.9%, 9th of 9 among similar funds.
- Its 5-year annualized return was +0.4% and its 10-year +5.7%.
- In the 2020 COVID crash it fell 42.3% and regained its old high 12.9 months after the low.
- Its worst full calendar year was 2008 (-39.9%); its best was 2021 (+38.7%).
- The deepest fall in its price history was 74.1% (Feb 7, 2007 to Mar 6, 2009), recovered by Apr 10, 2013.
Show as a table
| Year | Price data | Prospectus (official) |
|---|---|---|
| 2026 (to date) | +5.9% | — |
| 2025 | +3.4% | +3.38% |
| 2024 | +4.4% | +4.48% |
| 2023 | +11.9% | +11.86% |
| 2022 | -25.5% | -25.46% |
| 2021 | +38.7% | +38.69% |
| 2020 | -5.3% | -5.39% |
| 2019 | +28.2% | +28.39% |
| 2018 | -4.3% | -4.29% |
| 2017 | +9.3% | +9.37% |
| 2016 | +7.0% | +7.00% |
| 2015 | +1.6% | — |
| 2014 | +26.7% | — |
| 2013 | +1.2% | — |
| 2012 | +18.2% | — |
| 2011 | +5.5% | — |
| 2010 | +26.6% | — |
| 2009 | +30.5% | — |
| 2008 | -39.9% | — |
| 2007 | -18.1% | — |
| 2006 | +34.9% | — |
| 2008 financial crisis stocks fell Oct 9, 2007 – Mar 9, 2009 | Lost 69.7% over that stretch · deepest drop along the way 70.3%, back to its old high 39.9 months after the low |
|---|---|
| 2020 COVID crash stocks fell Feb 19, 2020 – Mar 23, 2020 | Lost 41.5% over that stretch · deepest drop along the way 42.3%, back to its old high 12.9 months after the low |
| 2022 bear market stocks fell Jan 3, 2022 – Oct 12, 2022 | Lost 31.3% over that stretch · deepest drop along the way 31.3%, back to its old high 42.2 months after the low |
Dividends and income
Show as a table
| Year | Per share | Change |
|---|---|---|
| 2026 (to date) | $1.5300 | |
| 2025 | $2.3300 | -2.9% |
| 2024 | $2.4000 | -4.8% |
| 2023 | $2.5200 | +3.3% |
| 2022 | $2.4400 | +2.1% |
| 2021 | $2.3900 | +8.1% |
| 2020 | $2.2100 | -22.2% |
| 2019 | $2.8400 | +7.6% |
| 2018 | $2.6400 | -12.6% |
| 2017 | $3.0200 | -11.2% |
| 2016 | $3.4000 | +15.3% |
| 2015 | $2.9500 | +5.0% |
| 2014 | $2.8100 | +17.9% |
| 2013 | $2.3840 | -0.5% |
| 2012 | $2.3970 | +10.2% |
| 2011 | $2.1750 | +10.2% |
| 2010 | $1.9730 | +2.1% |
| 2009 | $1.9320 | -37.2% |
| 2008 | $3.0760 | +6.4% |
| 2007 | $2.8920 | +0.1% |
| 2006 | $2.8880 |
What's inside
As of Jun 30, 2026, the fund held 61 securities; the ten largest made up 51.2% of assets.
| Holding | Weight | |
|---|---|---|
| WELLTOWER INC. | 10.82% | |
| PROLOGIS, INC. | 8.72% | |
| SIMON PROPERTY GROUP, INC. | 4.77% | |
| EQUINIX, INC. | 4.55% | |
| DIGITAL REALTY TRUST, INC. | 4.38% | |
| REALTY INCOME CORPORATION | 4.27% | |
| AMERICAN TOWER CORPORATION | 3.85% | |
| PUBLIC STORAGE. | 3.72% | |
| VENTAS, INC. | 3.19% | |
| CBRE GROUP, INC. | 2.91% | |
| IRON MOUNTAIN INCORPORATED | 2.78% | |
| CROWN CASTLE INC. | 2.44% | |
| EXTRA SPACE STORAGE INC. | 2.27% | |
| VICI PROPERTIES INC. | 2.14% | |
| AVALONBAY COMMUNITIES, INC. | 1.94% |
By country
United States 99.46%By asset type
Stocks 99.46%By sector
Sectors of the companies held, for the 54.2% of the fund in companies that have a stock page here; other holdings and cash aren't classified. Source: N-PORT holdings report as of Jun 30, 2026. Cash, money-market funds and derivatives are shown separately from the securities list.What changed recently
- Over the three months to Jun 30, 2026, investors added a net $387.4M (creations minus redemptions, per the N-PORT report).
- Monthly total returns reported for that quarter: +8.49%, -1.15%, +1.34%.
How it works
The fund follows the Dow Jones U.S. Real Estate Capped Index, which S&P Dow Jones Indices builds to measure the real estate sector of the U.S. stock market. Most of the index is REITs (real estate investment trusts), which are companies that own or finance property and pay out most of their income. It also includes real estate operating, management and development companies, such as CBRE Group. The index provider, not BlackRock, decides which stocks are in the index and how much each one counts.
The index caps big holdings. At each quarterly review, no single company can be more than 10% of the index. All companies above 4.5% can add up to no more than 22.5%. Between reviews, the index rebalances if companies above 5% together pass 25%. Weights can drift between reviews. As of June 30, 2026, Welltower was 10.8% of the fund, Prologis 8.7%, and the top ten holdings 51.2%.
BlackRock uses representative sampling. That means it may hold a sample of the index's stocks instead of every one, chosen to match the index's overall traits. At least 80% of net assets must be in index stocks. The fund may also use derivatives such as index futures, hold cash and lend up to one-third of its assets to other investors. Portfolio turnover was 9%. The fund never moves into defensive positions when markets fall.
What it really costs
- IYR charges 0.37% a year, versus an average of 0.17% for the similar funds below (8th of 9, cheapest first).
- Using the prospectus's standard example, $10,000 invested would cost about $38 in the first year and $468 over 10 years (assuming a 5% annual return).
| Cost of $10,000 (SEC example) | 1 yr | 3 yrs | 5 yrs | 10 yrs |
|---|---|---|---|---|
| IYR | $38 | $119 | $208 | $468 |
In a retirement portfolio
It adds exposure to a single sector, real estate, that has at times moved differently from the broad stock market, but its deep past drops make it a supporting holding, not a cushion.
Real estate stocks can add a different source of return and dividend income. As of October 27, 2026, IYR's one-year beta (how much it tends to move with the stock market) was a low 0.25. In crises, though, it fell hard. It lost about 70% in the 2008 financial crisis and took about 40 months to recover. It fell 42% in the 2020 COVID crash, and its 31% drop in 2022 wasn't regained until April 2026. Its worst calendar year was 2008, at −39.9%. Anyone who had to sell shares in those stretches would have locked in deep losses. The fund yielded 2.44% over the 12 months to October 27, 2026, paid quarterly. In the SEC's standard $10,000 example, costs total $38 after one year and $468 after ten, more than most similar funds charge. Past results don't predict future ones, and a plan should look at the whole portfolio, not one fund.
Who it may suit — and who should look elsewhere
May suit
- Investors who want one fund covering U.S. REITs and other real estate firms, from Welltower and Prologis to Equinix, Digital Realty and Simon Property Group.
- People who want quarterly dividend income from property owners. The trailing 12-month yield was 2.44% as of October 27, 2026.
- Investors who value a long-running fund, launched in 2000, with $4.67 billion in net assets as of June 30, 2026.
Look elsewhere if
- Cost-conscious investors: IYR's 0.37% expense ratio compares with 0.07% for Schwab US REIT ETF (SCHH) and 0.08% for XLRE and USRT.
- Anyone who can't tolerate steep losses: IYR fell 74% from 2007 to 2009 and took about 49 months to recover.
- Investors seeking a broadly diversified or defensive holding. It owns a single sector, and its top ten holdings made up 51.2% as of June 30, 2026.
Close alternatives
Matched by holdings overlap from the latest N-PORT reports.
| Fund | Overlap | Cost | Net assets | 1 yr | 3 yr |
|---|---|---|---|---|---|
| IYR this fund | — | 0.37% | $4.67B | +1.9% | +12.7% |
| FREL Fidelity MSCI Real Estate Index ETF | 86% | 0.084% | $1.49B | +3.2% | +13.3% |
| SCHH Schwab US REIT ETF | 85% | 0.07% | $11.20B | +7.1% | +14.1% |
| DFAR Dimensional US Real Estate ETF | 84% | 0.19% | $1.78B | +7.6% | +14.0% |
| FRI First Trust S&P REIT Index Fund | 80% | 0.5% | $180.5M | +8.3% | +15.4% |
| XLRE Real Estate Select Sector SPDR Fund | 80% | 0.08% | $8.10B | +2.8% | +13.3% |
| USRT iShares Core U.S. REIT ETF | 79% | 0.08% | $4.66B | +8.5% | +15.9% |
| BBRE JPMorgan BetaBuilders MSCI US REIT ETF | 78% | 0.11% | $1.26B | +8.1% | +15.4% |
Questions investors ask
Is IYR good for retirement income?
IYR provides some income, but it is a stock fund with large price swings. Its trailing 12-month yield was 2.44% as of October 27, 2026, paid quarterly. Its price fell about 70% in the 2008 financial crisis and 31% in 2022, and the 2022 loss wasn't regained until April 2026. Income-focused retirees may find it more useful as a smaller part of a wider portfolio than as a main source of income.
What's the difference between IYR and FREL?
The two funds hold very similar stocks, with 86% holdings overlap, but FREL costs much less. Fidelity MSCI Real Estate Index ETF charges 0.084% a year, compared with IYR's 0.37%. IYR tracks a Dow Jones index, while FREL tracks an MSCI index. Through October 27, 2026, FREL returned 3.2% over one year and 13.3% a year over three years, compared with IYR's 1.9% and 12.7%. IYR is the larger fund, with $4.67 billion in net assets.
How often does IYR pay dividends?
IYR pays dividends quarterly. Over the 12 months to October 27, 2026, it paid $2.39 per share, a yield of 2.44%. The payments come from the dividends of the REITs and other real estate companies it owns. The prospectus warns that these companies aren't required to keep paying dividends, so the fund's payouts can rise or fall from quarter to quarter.
What is IYR's expense ratio?
IYR's expense ratio is 0.37% a year, per its prospectus filed July 27, 2026. In the SEC's standard example, that means about $38 in costs on a $10,000 investment after one year and $468 after ten years, assuming a 5% annual return. The average for similar real estate funds is 0.17%. IYR ranks 8th of 9 on cost, and SCHH, XLRE and USRT each charge 0.08% or less.
How has IYR performed over the last 10 years?
IYR has delivered modest returns over the past decade. Its official average annual return was 5.45% over 10 years and 4.55% over five years, as of December 31, 2025. That is a little below its index's 5.83% over 10 years and far below the broad S&P Total Market Index's 14.22%. Based on price data, IYR returned 5.7% a year over 10 years through October 27, 2026.