Cap Rates Might Finally Start to Rise Again

Slowing asset growth would be the key according to First American Financial Corporation According to a First American Financial Corporation analysis, cap rates might finally start to recover some of their value. The firm’s potential capitalization rate (PCR) model for the first quarter of 2022 “estimates capitalization rates based on the historical relationship between [...]

By |2022-07-12T14:49:08+00:00July 6th, 2022|.|Comments Off on Cap Rates Might Finally Start to Rise Again

Yes, CRE Can Be An Inflation Hedge, With This Caveat

The key to CRE as an inflationary hedge is that cash flow of properties must increase enough to counteract any rise in cap rate. Commercial real estate has long been regarded as an inflation hedge, but economists from Moody’s Analytics say that adage will be tested this month as the Fed begins the first [...]

By |2022-04-19T16:51:20+00:00April 15th, 2022|.|Comments Off on Yes, CRE Can Be An Inflation Hedge, With This Caveat
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