US Housing Market Outlook Sales to slump and prices to fall We expect mortgage rates will hold close to 7% over the remainder of the year, leaving affordability at its worst since 1985. That will lead to another sharp fall in activity. As the economy dips into... 8th November 2022 · 18 mins read
US Commercial Property Data Response US Metro Employment (Sep.) Employment continues to trend higher across the 30 metros, but nearly half remain short of pre-pandemic peaks, including all six major metros. Indeed, with job growth slowing, we don't expect... 2nd November 2022 · 2 mins read
US Housing Market Update Small fall in apartment rents as recession bites We expect a small fall in apartment rents next year, as stretched affordability and stagnant employment hit demand while completions surge. But as job growth recovers and the vacancy rate drops back... 31st October 2022 · 3 mins read
US Commercial Property Update Structural change and higher rates still key to sector returns The weaker economic growth outlook will weigh most heavily on the retail and apartment sectors, where we have made the largest downgrades to our rental growth forecasts. But the relatively small size... 14th October 2022 · 3 mins read
US Housing Market Chart Pack House prices begin to fall A deterioration in the economic outlook and renewed rise in mortgage rates to a 16-year high in September means the housing market is set for a further slowdown. We estimate that mortgage payments as... 14th October 2022 · 10 mins read
US Commercial Property Data Response US Metro Employment (Aug.) The greater number of metros seeing a decline in total jobs in August comes as little surprise given the slowdown in the national data this month. But for the major six metros and poorer performing... 28th September 2022 · 2 mins read
US Housing Market Data Response Housing Starts (Aug.) Housing starts surprised on the upside in August, rising for the first time in six months. But we still expect them to fall further this year as stretched affordability continues to weigh on new home... 20th September 2022 · 2 mins read
US Housing Market Outlook Phoenix knocked off top spot by southern markets We expect a sharp slowdown in apartment rental growth across the board, as job growth slows, affordability constraints bite and an influx of supply pushes up vacancy. But some markets will perform... 16th September 2022 · 15 mins read
US Commercial Property Update Which apartment markets look most overvalued? A forward-looking fair value analysis of the 17 apartment metros that we forecast suggests that Phoenix and the Western markets look most overvalued. This insight underpins the changes to our yield... 14th September 2022 · 3 mins read
US Commercial Property Outlook Price correction to prove relatively small this time around Higher interest rates mean that real estate looks significantly overpriced in all sectors. The latest activity and performance data suggest that a correction is underway, but as we now think the 10... 9th September 2022 · 25 mins read
US Housing Market Chart Pack House price growth expectations turn negative Stretched affordability continued to weigh on housing market activity in July and August, leaving mortgage applications for home purchase down by 40% from their high in January. A renewed rise in... 9th September 2022 · 12 mins read
US Housing Market Update Apartment completions set for multi-decade high The jump in multifamily housing starts in the first half of 2022 implies a surge in completions over the next couple of years to a multi-decade high. But while rental demand is now moderating, the... 1st September 2022 · 3 mins read
US Commercial Property Data Response US Metro Employment (Jul.) Almost all metros saw further gains in total employment in July, with Dallas continuing to lead, and joined by Houston, Charlotte and Miami as the fastest growers. But office-based employment growth... 31st August 2022 · 3 mins read
US Commercial Property Chart Pack Recoveries still lagging in the major coastal markets Q2 data showed a mixed picture across the three sectors. For offices, the northern coastal markets continue to lag, with rent growth turning positive but still weaker than most other markets. Houston... 24th August 2022 · 7 mins read
US Commercial Property Chart Pack Property yields set to rise in H2 As the economy slowed in Q2 and interest rates rose, investors appear to have become less willing to compete property yields lower and investment volumes look close to turning. While occupier demand... 22nd August 2022 · 10 mins read
US Commercial Property Update The six major markets will not be the only losers Pandemic-accelerated migration patterns were already driving outperformance in the southern states. But they have also brought the poor performance of weaker markets to the fore. With those structural... 10th August 2022 · 3 mins read