Important Takeaways:
- US office real estate prices headed for ‘severe crash,’ investors say
- The commercial real estate market is headed for a severe collapse due in large part to sky-high interest rates and declining property values, according to a survey of investors.
- Around two-thirds of those who responded to a Bloomberg News survey said they believe that the commercial real estate market will recover only after a crash.
- When asked when they believe the price of office properties will hit bottom, 44% said they expect that to happen in the second half of next year while 22% said it will be in the first six months of 2024, according to Bloomberg News.
- Investors expect commercial real estate prices to crash, according to a recent survey. Shutterstock
- Investors are bracing for a possible crisis triggered by default on $1.5 trillion in debt that is coming due by the end of 2025.
- Just 6% of the 919 respondents said that prices would bottom out this year
Read the original article by clicking here.
