The FTSE 100 and FTSE 250 have risen strongly in 2026, dragging the yields on dividend shares lower. The Footsie is up 8% since 1 January, while the mid-cap index has gained an even-better 9%.

Both indices are known for their exceptional passive income opportunities. Yet the dividend yields FTSE 100 and FTSE 250 tracker funds have sunk to their historical lows around around 3%.

This means you and I must put in extra effort to find dividend stocks with attractive yields. But here’s the good news. I’ve already done some research for my own portfolio, and I’ve dug out two income heroes that not only offer excellent yields. They offer fantastic all-round value at today’s prices.

But what are top dividend shares? And why do I think ISA investors should consider them today?

This REIT’s soaring

2026 has been a difficult year for some real estate investment trusts (REITs). Share prices have dropped sharply on fears of several interest rate hikes that could hit asset values and inflate borrowing costs.

Yet Target Healthcare REIT‘s (LSE:THRL) surged in value despite these risks, rising an impressive 16% since 1 January. That’s better than both the FTSE 100 and FTSE 250 have achieved.

But why has the care home operator taken off? Healthy rental growth, increasing property values and lucrative asset sales continue to impress the market. Combined, these factors have seen Target deliver its best financial performance on record, achieving an accounting return of 12% for the financial year to June.

Though its shares have risen strongly, the REIT continues to offer decent value at 113.2p. Its forward price-to-earnings (P/E) ratio is an undemanding 10.1 times, and its corresponding dividend yield a juicy 5.7%.

With its inflation-linked tenancy agreements, I think Target can expect further impressive rental growth. And looking longer term, I think rents will keep rising strongly as the UK’s care home supply crunch worsens.

Please note that tax treatment depends on the individual circumstances of each client and may be subject to change in future. The content in this article is provided for information purposes only. It is not intended to be, neither does it constitute, any form of tax advice. Readers are responsible for carrying out their own due diligence and for obtaining professional advice before making any investment decisions.

A 6.1% income opportunity!

Aviva (LSE:AV.) shares can be a dividend goldmine for investors. It’s why I hold the business in my own portfolio. With a 6.1% forward yield — and a rock-bottom price-to-earnings growth (PEG) ratio of 0.3 — I’m considering buying more.

It’s not just the jumbo yield that’s makes it a brilliant income share. It’s the rate at which dividends are growing, reflecting Aviva’s restructuring efforts and growth of its capital light businesses.

Over five years, annual payouts have risen by an average of 13.5%. That’s significantly better than FTSE 100 peers like Legal & General (4.3%) and M&G (2.5%) have delivered.

The question is can Aviva’s excellent recent dividend record continue? I think so, given the enormous growth potential of the company’s wealth and protection businesses. City analysts expect yearly dividends to keep rising all the way to 2028 at least.

As inflation surges, the prospect of rising general insurance costs at Aviva may put off more risk-averse investors. If this is you, don’t despair. There are many other dirt cheap dividend shares for you to consider today…

What income stock do we like better than Aviva Plc right now?

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Royston Wild owns shares in Aviva, Legal & General and Target Healthcare REIT.