Nareit Market Commentary

The Market Commentary blog on presents analysis of the macro- and micro-economic fundamentals impacting the REIT and commercial real estate industry. The Nareit economics team offers their commentary on the state of the market, the outlook for commercial real estate and breaking macroeconomic news. The opinions set forth here are solely those of its author(s), and do not necessarily reflect the views of the Nareit or its membership.

  • 5/3/2019

    Is There Another Housing Bubble Building?

    Rising house prices have raised concerns about whether another speculative bubble is brewing. In today’s housing markets, however, it is a scarcity of housing supply that is pushing up prices.
  • 5/2/2019

    Commercial Real Estate Markets: A Slow Start to 2019

    Real estate markets softened in the first quarter, with the demand for leased space slowing for most major property types. Demand did not fall but the weakness may reflect a cautious environment during the winter months.
  • 4/26/2019

    REITs and the Rise of High-tech Real Estate

    A generation ago, most commercial real estate consisted of a building and four walls that provided space and services for tenants. Today, however, a growing share of real estate supports the high-tech sector.
  • 4/23/2019

    Looking at REIT Leverage versus Other Stock Market Sectors

    Do we need to worry that equity REITs are carrying too much debt?
  • 4/11/2019

    REITs and Interest Rates: A Positive Shift in the Market

    The relationship between REIT returns and long-term interest rates has turned positive again.
  • 3/20/2019

    REIT Earnings Slowed in Q4 2018

    REIT earnings slowed a bit in late 2018, according to the Nareit T-Tracker®, which showed funds from operations (FFO) of all listed equity REITs of $15.9 billion.
  • 3/14/2019

    Fundamentals for REITs and Real Estate are Stronger than the Mixed Macro News

    The outlook for REITs and commercial real estate remains favorable, despite some mixed macroeconomic news in the early months of this year.
  • 2/26/2019

    What’s Ahead for Cap Rates and Interest Rates?

    One of the most critical issues for real estate investors in the year ahead is the outlook for cap rates and property prices, especially with Federal Reserve policy in the spotlights. In addition to the future path for their target for short-term interest rates, Fed officials have also been discussing policy options concerning their securities holdings.
  • 2/14/2019

    REIT Property Sectors: Total Return and Diversification Over Short- and Long-term Horizons

    REITs have delivered a long-term total return to investors that generally matches and often beats broad market aggregates.
  • 2/8/2019

    Commercial Property Prices Edged Higher in 2018

    Commercial property prices edged higher in 2018, increasing 1.8 percent over one year earlier.