The spread between interest rates and commercial real estate cap rates is near the widest point on record, offering investors a rare opportunity to capitalize on this yield premium and boost levered returns.
Tag Archives: Interest Rates
(click to play video below) Low Rates Create Favorable Real Estate Investment Climate Randolph TaylorRandolph is a Multifamily Investment Sales Broker with eXp Commercial servicing Multifamily Buyers and Sellers in the Greater Chicago Area. www.creconsult.net/home-chicago-multifamily-brokerage/broker/broker-randolph-taylor/
Lower borrowing rates may be temporary; if trade war ends, rates could rise quickly
The spread between owning and renting will weigh on single-family sales as the monthly mortgage payment for a median-priced home is now $339 more than the average monthly rent for an apartment, the highest spread since 2008
The 10-year Treasury inched past 3 percent, drawing concerns from some investors. Strong economic momentum, however, reiterates the health of the current economic cycle which bodes well for all sectors of commercial real estate.