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On the heels of a CPI report showing inflation on the slow decline, Federal Reserve Chairman Jerome Powell announced that the FOMC would keep the federal funds rate at its current level, with 3 rate cuts expected in 2024. Stock markets reacted with the typical enthusiasm associated with the hope of lower interest rates, and…

There is little reason to expect that last-minute deals will buoy the low sales activity in the multifamily market in 2023, but investors should look for opportunities to emerge in 2024 as these persistent challenges change the calculation for property owners unable to “survive until 2025.”

With forecasts of greater supply and continued pressure from high interest rates, predictions that we are in the early moments of CRE valuation adjustment are gaining prominence, but expanded interest in non-bank lending is helping multifamily borrowers looking to resolve challenges related to increased borrowing costs.

Stock markets rallied after this week’s CPI print showed lower inflation, but the path to lower interest rates may not be as quick or straightforward as some would hope. With continued low CRE property sales and a narrow cap rate-interest rate spread, investors looking for investment opportunities are turning to non-bank lending, preferred equity, and…

New data showing that multifamily loan originations are down 50% from last year (and down by 40% compared to pre-pandemic 2019 numbers) joins a growing discussion about the changing state of multifamily lending, and a recent report suggests that rent growth patterns are stabilizing and trending toward historical norms.

While home buyers contend with higher costs, apartment renters have benefited from lower rent growth in 2023, with recent coverage of the housing market describing how rising mortgage rates and still-elevated home values have led to soaring costs of home ownership compared to the price of rent.

For CRE investors waiting to buy (or sell) properties, a rate hike pause may not be enough to encourage their re-entry into the market as investors expect further cap rate expansion in 2024. For multifamily specifically, confidence in longer-term asset performance has led to greater investor interest compared to other CRE sectors, but overall investment…

While recent comments and reports depict our current moment as a substantial opportunity for multifamily investors, there has been little disagreement about the headwinds for apartment performance in 2024, with continued rent growth stagnation and elevated interest rates as prominent challengers for investors. A more favorable environment for multifamily asset performance is expected to develop…

The Gray Capital team discusses cap rate trends and apartment supply. Also in this episode, Gray Capital President, CEO, and Co-Founder Spencer Gray brings Hannah Ott and Cameron Benz, powerhouse brokers on the Midwest Multifamily Team at Cushman & Wakefield, into the studio for a discussion of what’s happening on the ground for multifamily buyers…

Multifamily assets have proven their worth in both strong and weak economies, but cripplingly high interest rates have frozen the sales market for apartment properties in 2023, leaving the outlook unclear for 2024. Even though the potential for lenders to grant accommodations to troubled borrowers could extend the stagnation and uncertainty in the multifamily sales…