Q1 2024 Commercial real estate outlook: The long way ’round
The U.S. commercial real estate (CRE) market enters 2024 balancing hopes for a better year with fears of a more significant downturn. Volatile interest rates consumed capital markets over the past year, but strong property fundamentals have acted as a counterweight. We expect the CRE market to enter a new phase of its correction, with activity improving as 2024 progresses but interest rates continuing to weigh on property values and equity returns.
Top 10 Predictions for Commercial Real Estate in 2024
The past couple of years have brought about unprecedented conditions in commercial real estate, and it may feel difficult to predict what’s coming next in the market. Economic conditions may be less certain than ever before, but tracking trends and opportunities is still a valuable practice for your firm moving into 2024 and beyond. As the industry continues to contend with macroeconomic turbulence and an ever-evolving post-pandemic environment, you’ll find both opportunities and challenges in the years ahead. You’ll want to be aware of upcoming trends across sectors and asset classes, as well as the strategies top firms are using to stay competitive amid challenges.
Hospitality Industry Should Fare Better Than US Economy in 2024, Analysts Say
Industry Experts Share Forecasts, Break Down Demand Segments
2024 Multifamily Outlook
Economic conditions appear to be moderating as we head into 2024 and expectations are for the economy to achieve a soft landing. We expect job, wage, and gross domestic product growth to slow but remain positive, as inflation continues its downward trajectory. Similarly, we expect the multifamily market to remain sluggish as it works through what will likely be peak deliveries of new supply for this cycle in 2024, with rent growth expected to be positive but below the long-term average and vacancy rates higher than average. With interest rate stability, cap rates and property values should stabilize allowing buyers and sellers to agree on asset value to facilitate more transaction volume. Read the full reportpdf(Opens a new window).
Multifamily Is Likely To Start Recovering in 2024—Here’s Why
In his recent article, BiggerPockets CEO Scott Trench did a great job enumerating all the reasons why multifamily is in the difficult position it’s in. If he had written these same things a year ago, I wouldn’t be writing this rebuttal—I would have simply said, “Ditto.”
But I don’t believe that the picture he has painted is an accurate reflection of where things are headed. Here’s why.
The Commercial Real Estate Outlook for 2024
Tight credit, work-from-home trends, energy-hungry data centers and more color the horizon for commercial real estate as we enter 2024.
Commercial Real Estate Outlook 2024: The Kiplinger Letter
In 2024, expect hybrid and work-from-home trends, tighter budgets, rising rents and the demand for data centers to continue.
Yardi Matrix Forecasts Increase in Self Storage Delivery for 2024-2025
SANTA BARBARA, Calif., Feb. 21, 2024 – Yardi® Matrix’s Q1 2024 Self Storage Supply Forecast suggests an expansion in near-term supply, while the coming years will show a decrease.
The last quarter of 2023 registered an increase in construction starts and the under-construction pipeline, influenced by an uptick in new development. Consequently, the near-term forecast for 2024 and 2025 has been upped by 10.9 percent and 12.5 percent, respectively.
Self-Storage Market Outlook 2023-24: Which Areas Are Likely to Remain ‘Hot’ as the Post-Pandemic Market Cools?
Self-storage investors were spoiled during the pandemic, as the entire U.S. was a hot market. But now many pockets are beginning to cool. Which areas will draw capital interest going forward? Find out in this industry real estate outlook for 2023-24.
Rental Property Investing In 2024: Is It Worth It For Smaller Investors And Landlords?
Rising interest rates and home prices have put the breaks on a two-year run of red-hot rent increases and record-low mortgage rates. As a recession seems likely to become a reality in 2024, smaller investors and landlords who can adapt and capitalize on changing multifamily real estate dynamics will likely stay out of the deep end of the downturn.